Essays on CEO Media coverage and stock price crash risk
Guide(s)
Anshuman, V Ravi
Department
Finance and Accounting
Area
Finance and Accounting
University
Indian Institute of Management Bangalore
Place
Bangalore
Publication Date
3-31-2026
Year Awarded
March 2026
Year Completed
March 2026
Year Registered
June 2019
Abstract
Stock price crash risk is the likelihood of a large, sudden decline in the stock price of a firm. This thesis examines the role of media in shaping crash risk in Indian firms. Specifically, we examine the impact of CEO media coverage on stock price crash risk. Using a sample of 22,535 firm-years, we find that an increase in CEO media coverage increases the likelihood of a firm experiencing a stock price crash. We also demonstrate that the impact of CEO media coverage on crash risk remains robust even when we include the media coverage of firms as a control. Our findings indicate that CEO media coverage has additional predictive power for crash risk beyond that of firm coverage. We also explore whether bad news hoarding is the main driver of the relationship between CEO media coverage and crash risk using a series of cross-sectional tests. However, we do not find evidence in support of the bad news channel. Instead, we find that an increase in CEO media coverage is positively associated with investor optimism, and such optimism increases stock price crash risk. Overall, our results suggest that CEO media coverage positively affects stock price crash risk by making the investors optimistic about the ability of the CEO and the future prospects of the firm.
Pagination
v, 103p.
Copyright
Indian Institute of Management Bangalore
Document Type
Dissertation
DAC Chairperson
Anshuman, V Ravi
DAC Members
Rangan, Srinivasan; Anand, Abhinav
Type of Degree
Ph.D.
Recommended Citation
Dhuria, Akshay, "Essays on CEO Media coverage and stock price crash risk" (2026). Doctoral Dissertations. 388.
https://research.iimb.ac.in/doc_dissertations/388
Relation
DIS-IIMB-FPM-P26-06
