Womack Focuses on Changes in Analysts' Recommendations and Finds That

Multiple Choice

Womack focuses on changes in analysts' recommendations and finds that

A) positive changes are associated with decreased increased stock prices of about 5%, and positive changes result in average price decreases of 11%.
B) positive changes are associated with increased stock prices of about 5%, and negative changes result in average price decreases of 11%.
C) positive changes are associated with increased stock prices of about 11%, and negative changes result in average price decreases of 5%.
D) negative changes are associated with increased stock prices of about 5%, and positive changes result in average price decreases of 11%.