Headlines from featured stories in Business
Week,Fortune, and Forbes were
collected for a 20-year period to determine whether positive stories are
associated with superior future performance and negative stories are associated
with inferior future performance for the featured company.
“Superior” and “inferior” were determined in comparison
with an index or another company in the same industry and of the same size.
Statistical testing implied that positive stories generally indicate the end of
superior performance and negative news generally indicates the end of poor
performance.