Résumé

This study analyzes the impact of asset-light strategies on analyst forecast accuracy using a sample of international publicly-listed hospitality firms. Based on 32,136 earnings forecasts, the findings are threefold. First, using an OLS model, we document that asset-light strategiesare positively related to analyst forecast accuracy, meaning that the more a company relies on an asset-light fee-oriented strategy, the more precise analysts’ forecasts are. Second, using a probit model, the results indicate a lower probability of overestimating or underestimating analyst forecasts when firms pursue an asset-light strategy. Third, when firms change their business strategy and implement an asset-light approach, analysts tend to make fewer forecast errors when compared to firms that are not asset-light. Overall, our results provide useful information to board members, financial analysts, and companies’ top managers regarding the evaluation of the consequences of pursuing an asset-light strategy.

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