Mar 21, 2025

Dr. Janhavi Shankar Tripathi, assistant professor of Finance, has published a new paper titled “The Impact of Earnings Announcements Before and After Regular Market Hours on Asset Price Dynamics in the Fintech Era” (with Dr. Erick W. Rengifo, Fordham University) in the Journal of Risk and Financial Management.

The study examines how earnings announcements impact stock prices during regular and extended trading hours. With the rise of commission-free trading and fractional shares, retail investor participation has surged, increasing volatility. Using high-frequency Nasdaq data, the study finds that price changes are steeper and liquidity is lower during after-hours and pre-market sessions, making earnings announcements in these periods more impactful. 

The authors suggest that earnings announcements should be made during regular trading hours to ensure better price discovery and market stability. For more details: https://doi.org/10.3390/jrfm18020075.