Lachana, I. and Schröder, D. 2025. Investor sentiment and stock returns: Wisdom of crowds or power of words? Evidence from Seeking Alpha and Wall Street Journal. Journal of Financial Markets. 74 100970. https://doi.org/10.1016/j.finmar.2025.100970
| Title | Investor sentiment and stock returns: Wisdom of crowds or power of words? Evidence from Seeking Alpha and Wall Street Journal |
|---|---|
| Type | Journal article |
| Authors | Lachana, I. and Schröder, D. |
| Abstract | In light of changes in the media landscape from traditional print towards social media, in this study we compare the ability of investor sentiment measures obtained from various media sources to predict short-term market returns. We show that investor sentiment extracted from the social media platform Seeking Alpha is better in predicting market returns than investor sentiment obtained from the Wall Street Journal, a traditional print medium. Seeking Alpha is more suitable for the extraction of investor sentiment due to the richer language and timeliness of online media. |
| Article number | 100970 |
| Journal | Journal of Financial Markets |
| Journal citation | 74 |
| ISSN | 1878-576X |
| 1386-4181 | |
| Year | 2025 |
| Publisher | Elsevier |
| Accepted author manuscript | License CC BY 4.0 File Access Level Open (open metadata and files) |
| Publisher's version | License CC BY 4.0 File Access Level Open (open metadata and files) |
| Digital Object Identifier (DOI) | https://doi.org/10.1016/j.finmar.2025.100970 |
| Publication dates | |
| Published online | 03 Mar 2025 |
| Published in print | Jun 2025 |