Detail Cantuman

Abstract: This research objective is to both examine and provide empirical evidence concerning analysts' decision-making intentions in choosing stocks at the Indonesian stock exchange by using accounting information. This research uses a causal-explanatory approach in examining the analysts' intentions on selecting stocks. This research uses primary data with questionnaire-surveys and adopts single study. In explaining the analysts’ intentions, this research uses a causal-explanatory approach. This research shows that the benefits of accounting information (1) positively affect beliefs revisions; (2) positively affect unsystematic risk perceptions; (3) positively affects the intention of stock selections; (4) positively affect the intention of stock selections; (5) positively affect the intention of stock selections; (6) negatively affects the intention of stock selections; and (7) positively affect the intention of stock selections. Further, this research also finds that securities analysts behaved sophistically in analyzing accounting information for decision-making purposes. Accounting information has characteristics (i.e., relevant, reliable, and fair) that in alignment with the interests of its users. The intention for stock selection is driven by the knowledge and experiences of both the respondents as well as other people. This condition shows that there is a halo effect surrounding the intention for stock selections that come from people that other than respondents (e.g., respondents' colleagues). Therefore, securities analysts tend to act prudence, sophisticated, volitional, and risk neutral.
Keywords: Beliefs Revision, Subjective Norm, Risk Perception, Intention Stock Selection