Managerial Communication Under Analyst Scrutiny
Using approximately 14,000 S&P 500 earnings calls, we examine how the composition of analyst audiences shapes managers' responses during earnings-call Q&A. The study combines an LLM-based classification procedure with analysts' prior questioning and coverage histories.
FindingAudience composition is systematically associated with whether managers respond directly or provide non-answers, with these relationships becoming more pronounced following unfavorable evaluations.