56 Pages · Posted: 17 Sept 2019 · Last Revised: 2 Feb 2021 | This study uses 462,678 monthly observations of US-listed firms for the period 1990-2018 to document a strong positive relationship between short-term changes in financial distress risk and future stock price crashes.
“Financial Distress Risk and Stock Price Crashes”, with C. Andreou and N. Lambertides.