// Accounting Professor · SMU Cox

When information breaks, who pays?

I study the forces that distort information in capital markets — racial bias in analyst forecasts, pharmaceutical disclosure suppression, narcissistic executives, and the cognitive limits of investor attention. My work spans accounting, finance, behavioral science, and public policy.

11Top-tier
publications
5Elite journals
JFE · JAE · JAR · TAR · MS
90+Seminars & conferences
NBER · AFA · Kellogg · NYU · Yale · LBS
// latest

Updates

May 2026
R&R
"Disclosure Control as a Real Option: Contractual Governance in Clinical Trials" received Revise & Resubmit at Journal of Accounting & Economics.
May 2026
R&R
"Fear Cautions, Anger Commands: Information in Managerial Vocal Emotion" received Revise & Resubmit at Contemporary Accounting Research.
Apr 2026
R&R
"Migration Fear, Information Access, and Analyst Forecast Accuracy" received Revise & Resubmit at The Accounting Review.
Mar 2026
Acceptance
Feb 2026
Presentation
"Disclosure Control as a Real Option" presented at the WashU 2nd Annual Conference on the Economics and Finance of Healthcare and Medicine.
Jan 2026
Publication
"CFO Narcissism and the Power of Persuasion Over Analysts" published at Review of Accounting Studies (2025), 30(3), 2419–2467.
// research program

Three forces that distort markets

My career has been a sustained investigation into a single question: what happens when information systems in capital markets break down?

1

Information Bias & Discrimination

Racial prejudice and executive narcissism systematically distort financial intermediaries' output. I document these distortions, validate novel measurement approaches, and identify what mitigates them.

JAE 2025JAR 2017RAST 2018RAST 2025R&R: Migration
2

Price Discovery & Attention

Cognitive constraints cause systematic delays in price discovery. Information acquisition paradoxically crowds out macro news. Microstructure frictions create predictable return patterns around earnings.

JFE 2014RAST 2026TAR 2020AOS 2019JFQA 2018
3

Transparency & Measurement

Firms and accounting standards suppress and omit critical information. Pharmaceutical embargoes, regulatory backfire effects, and the trillions in intangible capital missing from corporate balance sheets.

MS 2025JAR 2022JCF 2014R&R: DisclosureWP: Kinky
// signature work

Featured papers

Selected publications — each distilled to one question and one takeaway.

// featured · video
Making intangibles tangible
A presentation for Columbia Business School's Accounting Design Project. I discuss the Ewens-Peters-Wang framework for measuring missing intangible capital from acquisition prices — featured research published in Management Science (2025).
↗ Watch on YouTube
CORPORATE BALANCE SHEETTangibleAssetsPP&E, Cash, etc.GAAP ReportedMISSINGR&D · SG&A · Org CapitalTangibleAssetsEPW Adjusted
Management Science · 2025Trillions missing from balance sheets
Intangible Capital Measurement
with M. Ewens and R. Peters
Question
What happens when accounting omits trillions in internally generated assets?
Takeaway
Investors and researchers inherit a distorted map of firm value. We develop a structural model using acquisition prices to estimate missing intangible capital. Our parameters outperform BEA estimates, were discussed at NBER, and are applied at Morgan Stanley. Free data and code available below.
ANALYST REACTION TO BAD NEWSWhite CEONon-White CEO+57%more negative valuations for Non-White CEOs after bad news
Journal of Accounting & Economics · 2025Racial gap in analyst valuations
CEO Race and Analyst Judgments
with K. Rupar and H. Yoon
Question
Do analysts evaluate bad news differently when a firm has a non-White CEO?
Takeaway
The evidence suggests bias appears in a setting often assumed to be objective. Analysts' target prices are 57% more negative following bad news for non-White CEOs — a subconscious bias that attenuates with familiarity and varies with societal racial sentiment. Confirmed by randomized experiment.
NON-WHITE ANALYST FORECAST ERROR201120132016201820192016 Presidential Election5.7×larger effectpost-election
R&R · The Accounting Review5.7× larger effect post-election
Migration Fear and Analyst Forecast Accuracy
with C. Wan, Y. Wang, A. Yorulmaz
Question
Does anti-immigrant sentiment impair minority analysts' ability to forecast earnings?
Takeaway
A one-SD increase in migration fear raises Non-White analysts' absolute forecast errors by $0.04 EPS — with no effect on White peers. The mechanism: Non-White analysts lose access to private information channels, evidenced by a 5.7pp decline in conference call participation during high-fear periods. Attenuated under Non-White CEO leadership and in sanctuary jurisdictions.
R&R at The Accounting Review
SIGNATURE SIZE → NARCISSISM → MISREPORTINGNon-narcissistXNarcissistX98th percentile cited at JAR5th most-cited since its year of publication · Web of Science
Journal of Accounting Research · 2017The signature paper
CFO Narcissism and Financial Reporting Quality
with C. Ham, M. Lang, and N. Seybert
Question
Can executive psychology shape corporate reporting and firm behavior?
Takeaway
Manager personality helps explain economically meaningful differences in outcomes. Narcissistic CFOs — measured via experimentally validated signature size — produce more aggressive financial reports, have weaker internal controls, and are more likely to restate earnings. Featured in The Economist, FT, WSJ, NYT, HBR, and Washington Post.
98th Percentile Cited
PERSUASION TACTICS ON CONFERENCE CALLSNarcissistic CFOeuphemisms · positive tonetargets bearish analystsAnalyst↑ OvervaluationLab experiment confirms: coercive tactics drive inflated valuations
Review of Accounting Studies · 2025Coercive persuasion in lab + field
CFO Narcissism and the Power of Persuasion Over Analysts
with C. Ham, M. Piorkowski, and N. Seybert
Question
Do narcissistic executives intentionally manipulate the analysts who value their firms?
Takeaway
Yes — and they do it through both public and private channels. On conference calls, narcissistic CFOs use more persuasive language, more euphemisms, and strategically call on bearish analysts to argue with them. In a controlled lab study, narcissists are especially likely to deploy coercive tactics — including threatening to revoke private access — to pressure analysts into higher valuations. The overvaluation is most damaging after negative earnings news.
Mixed Methods
SHORT-TERM RETURN REVERSALSNormalEarningsWindowsix-fold increase in reversals → 1.45% announcement-window return
Journal of Financial Economics · 20146× reversal increase
Liquidity Provision Ahead of Earnings
with E. So
Question
Can market microstructure frictions create predictable price patterns around scheduled information events?
Takeaway
Market makers set prices below fundamental value before earnings to compensate for inventory risk, creating predictable reversals. A long-short strategy on pre-announcement returns yields 1.45% during the announcement window.
Analyst SUE (raw)Analyst SUE (adjusted)0kink!066%kinkreducedmost of the "kink" is analyst behavior, not earnings management
Working Paper · Mar 202666% of the kink is analyst behavior
Are Analyst Forecast Errors Really Kinky?
with M. Barth, J. Jeong, and W. Landsman
Question
Is the famous "kink" in earnings surprises really caused by earnings management?
Takeaway
No — approximately 66% of the asymmetry is driven by analyst strategic behavior, not managerial manipulation. Analysts under-revise EPS forecasts while bundling directionally consistent target price and recommendation revisions. Adjusting for this predictable bias, the ratio of small beats to small misses drops from 2.43 to 1.49. Studies using meet-or-beat indicators as proxies for earnings management are partially capturing analyst strategic behavior.
New Working Paper
// complete record

All publications

01 Information Bias & Discrimination

2025
Do Sell-side Analysts React Too Pessimistically to Bad News for Minority-led Firms? · with K. Rupar, H. Yoon
J. Acct. & Econ.
BAD NEWS REACTIONWhite CEONon-White CEO57%more negative
Do analysts evaluate bad news differently when a firm has a non-White CEO?
Analysts' target prices are 57% more negative following bad news for non-White CEOs — a subconscious bias that attenuates with familiarity and varies with societal racial sentiment. Validated by a randomized experiment.
2025
CFO Narcissism and the Power of Persuasion Over Analysts · with C. Ham, M. Piorkowski, N. Seybert
Rev. Acct. Studies
CONFERENCE CALL!analystCoercive Tacticslab + archival
Do narcissistic executives intentionally manipulate the analysts who value their firms?
Narcissistic CFOs use persuasive language, euphemisms, and strategically call on bearish analysts. In a lab study, narcissists deploy coercive tactics — including threatening to cut private access — to pressure analysts into higher valuations.
2018
Narcissism is a Bad Sign: CEO Signature Size, Investment, and Performance · with C. Ham, N. Seybert
Rev. Acct. Studies
CITATION IMPACT99th %ile4th most-cited paperat RAST since its year of publicationOverinvest in R&D + M&Ayet underperform
What are the real consequences of having a narcissistic CEO?
Narcissistic CEOs overinvest in R&D and M&A but not routine capex. Their firms deliver lower profitability and cash flows. Yet narcissistic CEOs receive higher compensation. The 4th most-cited paper in RAST since its year of publication.
2017
CFO Narcissism and Financial Reporting Quality · with C. Ham, M. Lang, N. Seybert
J. Acct. Research
SIGNATURE SIZEnon-narcissistXnarcissistX98th %ilecited at JAR
Can executive psychology shape corporate reporting and firm behavior?
Narcissistic CFOs — measured via experimentally validated signature size — produce more aggressive reports, weaker internal controls, and more restatements. 5th most-cited at JAR since its year of publication. Featured in The Economist, FT, WSJ, NYT, HBR, and Washington Post.

02 Price Discovery & Attention

2026
Firm-specific Information Processing and the Delayed Discovery of Macroeconomic News · with J. Pan, E. Sul
Rev. Acct. Studies
23%of aggregate returndelayed 3 days
Does processing firm-specific news cause investors to neglect macroeconomic information?
23.2% of the aggregate market return on earnings dates is incorporated with a 3-day delay for extreme announcers. Stronger when EDGAR downloads are high and retail trading is intense.
2020
Asymmetric Timeliness and the Resolution of Investor Disagreement · with M. Barth, W. Landsman, V. Raval
The Acct. Review
PRICE DISCOVERYLow ATCHigh ATCSlowerconvergencegains ≠ losses
Does conservative accounting impede price discovery?
Asymmetric timeliness forces investors to disaggregate earnings into good/bad news components, slowing resolution of disagreement at earnings announcements. A companion model shows pricing error is increasing in asymmetry.
2019
Informational Environments and Analyst vs. Insider Information Content · solo-authored
Acct. Org. & Soc.
AnalystsInsidersIndustryexpertiseFirmexpertiseRelative information channels
Do analysts and insiders bring different types of information to markets?
Analysts have relative industry expertise; insiders have firm-specific expertise. Both rely on their comparative advantage when informing prices.
2018
Know Thy Neighbor: Industry Clusters, Information Spillovers and Market Efficiency · with J. Engelberg, A. Ozoguz
JFQA
INDUSTRY CLUSTERisolated10%faster price discovery
Does geographic proximity to industry peers improve market efficiency?
Firms in industry clusters have prices that incorporate information 10%+ faster. Geography creates spillovers. Causal evidence from exogenous firm relocations.
2014
News-driven Return Reversals: Liquidity Provision Ahead of Earnings · with E. So
J. Financial Econ.
RETURN REVERSALSNormalEarnings1.45% returnannouncement window
Can microstructure frictions create predictable price patterns around information events?
Return reversals increase six-fold during earnings announcements. Market makers demand higher compensation for inventory risk, creating predictable price concessions. 1.45% announcement-window return.

03 Transparency & Measurement

2025
Measuring Intangible Capital with Market Prices · with M. Ewens, R. Peters
Management Science
BALANCE SHEETReportedMissingActual15% smallerthan BEA estimates
What happens when accounting rules omit trillions in internally generated assets?
We estimate missing intangible capital using acquisition prices. Our estimates are 15% smaller than BEA parameters with far more cross-industry variation. Data, code, and parameters freely available.
2022
Non-GAAP Reporting, Regulatory Focus, and GAAP Aggressiveness · with R. Guggenmos, K. Rennekamp, K. Rupar
J. Acct. Research
NON-GAAP USE94%SEC scrutiny backfires
Does regulatory attention to non-GAAP reporting actually improve financial reporting quality?
Paradoxically, no. Constraining non-GAAP via SEC scrutiny pushes managers toward more aggressive GAAP earnings management instead. Non-GAAP flexibility acts as a safety valve. Validated by experiment, survey, and archival data.
2014
The Prevention of Excess Managerial Risk Taking · with E. Van Wesep
J. Corp. Finance
OPTIMAL CONTRACTMeet target−NPV risk↓ Severanceprevents thisTheory paper
Can compensation design prevent managers from gambling with shareholder value?
Optimal contracts feature high targets paired with severance pay so bad managers don't take negative-NPV risks. Severance should be contingent on results — complete failure nullifies payments.
// pipeline

Working papers

R&R · The Accounting Review

Migration Fear, Information Access, and Analyst Forecast Accuracy

with C. Wan, Y. Wang, A. Yorulmaz
Anti-immigrant sentiment creates a racial accuracy gap in analyst forecasts. A one-SD increase in migration fear raises Non-White analysts' absolute forecast errors by $0.04 EPS with no effect on White peers. Non-White analysts see a 5.7pp drop in conference call participation during high-fear periods — suggesting societal tensions reduce private information sharing with minority analysts.
Working Paper · Mar 2026

Are Analyst Forecast Errors Really Kinky?

with M. Barth, J. Jeong, W. Landsman
The well-known "kink" in earnings surprises is widely attributed to earnings management — but ~66% is actually driven by analyst strategic behavior. Analysts under-revise EPS forecasts while bundling directionally consistent target price and recommendation revisions, creating predictable bias. Adjusting for bundling, the ratio of small beats to small misses falls from 2.43 to 1.49.
R&R · Journal of Accounting & Economics

Disclosure Control as a Real Option: Contractual Governance in Clinical Trials

with O. Chen and Y. Zhang
How pharmaceutical companies use embargo clauses in clinical trial contracts to control the timing and terms of disclosure — with consequences for market price discovery and public health.
R&R · Contemporary Accounting Research

Fear Cautions, Anger Commands: Information in Managerial Vocal Emotion

with E. Sul and V. Zhu
Managerial vocal emotions on earnings calls carry distinct informational signals. Fear in executives' voices predicts negative future outcomes, while anger signals conviction — each shaping how analysts and investors process the call.
// public goods

Intangible Capital Data & Code

Free parameters and capitalized intangible stocks from EPW (2024). Build more accurate balance sheets for any publicly traded firm. Used by researchers worldwide and applied in Morgan Stanley Investment Management research.

Code + Data → SDC-GVKEY Mapping → MD&A Text →
$ git clone intangible_capital
Cloning into 'intangible_capital'...
$ python construct_stocks.py
# EPW parameters: δ_k=0.15, δ_o=0.20
# Estimating knowledge + org capital...
# Adjusting balance sheets for 4,200 firms
# Output: adj_balance_sheet.csv
// notebook

Writing

I write about information failures in markets, policy, and public health — translating academic research into arguments that practitioners and policymakers can act on.

// about

The path here

A chemist who became a financial economist — bringing a scientist's rigor to the messiest questions in capital markets.

EducationDuke UniversityB.A. Chemistry
U. South FloridaM.A. Chemistry · Highest Honors
NYU SternM.B.A. Finance · Highest Honors
2009Cornell UniversityPh.D. Accounting · Econometrics, Finance
2008–2016UNC-Chapel HillKenan-Flagler Business School
2016–2018Rice Businessvisitor at Jones Graduate School
2018–presentSouthern MethodistCox School of Business
↓ Download CV (PDF)

Before I studied markets, I studied molecules. My academic journey began in organic and polymer chemistry at Duke and the University of South Florida, where I learned to think in terms of systems, reactions, and equilibria. That scientific training — the insistence on rigor, on letting data and evidence lead, on theoretically questioning assumptions — became the foundation for everything that followed.

The pivot from pure science to capital markets and financial economics came at NYU Stern, where my focus in equity valuation and earnings quality gave me a front-row view of how information moves through markets — and how often it gets distorted along the way. That experience drove me to academia: I wanted to understand these distortions systematically, not just observe them anecdotally.

At Cornell, I found my intellectual home in information economics. My doctoral work, with additional concentrations in both econometrics and finance, gave me the methodological toolkit to study the deep structure of price discovery. Since then, my research has followed the information — wherever it gets produced, wherever it's corrupted, wherever it fails to reach the people who need it.

Today, my work spans from documenting racial bias in Wall Street analyst valuations, to exposing how pharmaceutical companies contractually suppress clinical trial results, to measuring the trillions in intangible assets that modern accounting systems systematically omit. The costs of these failures fall disproportionately on those with the least power to see them coming — retail investors without access, patients without expertise, minority-led firms without the benefit of the doubt. The through-line is always the same question: when information breaks, who pays?

// teaching

In the classroom

I teach ACCT 6202: Financial Accounting II in the SMU Cox MBA program — full-time, professional, and online cohorts. Below are aggregated end-of-course evaluations from every section I have taught at SMU, beginning Fall 2018. Previously taught Equity Valuation and Corporate Finance at UNC Kenan-Flagler and Rice Jones. Raw response files available on request.

14Semesters
Fall '18 – Sp '26
39Sections
taught
1,355Students
enrolled
4.5/5Mean rating
4,008 ratings
89%Rated 4 or 5
out of 5

Summary statistics of all student ratings at SMU.

N = 4,008 individual question ratings across 12 semesters (5-point scale)
63.1% (best score)
26.2%
6.6%
5 Strongly Agree 4 Agree 3 Neutral 2 Disagree (2.8%) 1 Strongly Disagree (1.3%)

Per-question results

SMU Course Evaluation, standard 7-item instrument. Sorted by mean.
QuestionMeanMedian% at 4 or 5N
The instructor fostered an academic environment that was respectful to students.4.6594%569
The course was intellectually challenging or thought-provoking.4.6593%574
The instructor was available to answer questions inside and outside of class.4.5589%573
The instructor clearly defined and explained the course objectives and expectations.4.5591%576
The course helped me to develop knowledge or skills.4.5589%571
The instructor utilized class time effectively.4.3584%573
The instructor presented the course content effectively.4.3584%572

Trend across semesters

Mean rating per semester ± 1 standard error. Shaded band marks COVID-disrupted semesters. n = respondents.
COVID SEMESTERS 75% 80% 85% 90% 95% 100% F18 n=109 S19 n=15 F19 n=72 F20 n=46 S21 n=60 F21 n=57 S22 n=12 F22 n=46 F23 n=51 S24 n=13 F24 n=56 S25 n=40 F25 n=84 S26 n=39 MEAN SEMESTER →

Selected student comments

17 of 464 open-ended responses across 14 semesters. Verbatim — student spelling and punctuation preserved.

“Professor Wang is the best - I wish he taught more courses. He makes class exciting and actually ties it into real life. His emphasis on learning the material rather than memorizing should be adopted by the rest of the SMU faculty. Additionally, I really appreciated how he tied the lectures in with real life examples and explained how we can use this material when managing our own finances. This class was the most useful course I've taken this year, largely because of the approach that Professor Wang took to constructing it.”

— Fall 2022

“The instructor took time to really explain the concepts. He was available to all students when needed and took extra time to stay after class even if it was late. He taught accounting to where class was not boring and kept students engaged in the material.”

— Spring 2019

“He was constantly challenging us to look at accounting not just as debits and credits, but what did they mean.
He spent a lot of time trying to help us understand the WHY of accounting”

— Fall 2019

“The way in which Prof Wang relates everything back to the real world and is willing to talk after class is truly impressive. I have really enjoyed the class and he has made it exceptionally interesting.”

— Fall 2021

“Sean Wang has an amazing perspective when it comes to accounting. He made accounting relevant to investors in many topics which was extremely insightful and interesting to learn.”

— Fall 2022

“The bigger picture discussions helped a lot. Not just the journal entries and debits/credits but also how they apply, how managers can use or misuse accounting, and how it applies to personal finance”

— Fall 2023

“Sean really kept me engaged with his energy and relating the material to real world scenarios like investing. The pre-class videos helped with me learning the material as I felt I had a good understanding of it prior to going over it in class.”

— Fall 2024

“The instructor's energy was fantastic, and it was clear he genuinely cared about ensuring we understood the concepts. He made accounting engaging and enjoyable!”

— Spring 2025

“Material was presented in a great way to foster understanding of the concepts instead of just memorizing journal entries. Professor was very knowledgeable and a great instructor and seemed like he really cared about the student's learning and understanding.”

— Spring 2026

“Sean is a great teacher and I can tell he cares about teaching us the things most important to our future careers, not teaching us as if we are going to be accountants. I like the intuition approach he gives and his reasoning behind decisions he makes about how he instructs the course. I also like his no screens policy, I think a lot of learning is lost by typing notes and I'm glad he tried to push the science behind this to us.”

— Fall 2023

“The professors patience and focus on developing our intuition was the greatest contributor to our learning. It wasn't enough for us to memorize formulas and rules, the professor wanted us to understand the thoughts and reasoning behind each idea. As a result, myself and everyone else I have spoken to regarding the course has felt they have grown more knowledgeable and confident in their understanding of accounting.”

— Spring 2025

“Sean is a fantastic teacher because he genuinely wants us to understand the accounting concepts and why he's teaching the material.
Despite all the MAJOR life events going on, Sean went above and beyond to teach us what he set out to. I'm in awe and impressed and wish more teachers would care as much as Sean does.”

— Fall 2018

“Appreciate how much focus was given to the intuition behind the topics. I also appreciate the focus on explaining how each topic could be manipulated and the rational for why someone would manipulate it in that way. When focusing intently on learning the rules, for me, it can be easy to get lost in the details and not see the big picture. Your explanations and "why" questions on slides made the course much more about meaningful understanding. Great class, thank you for making it so valuable!”

— Fall 2018

“Thoroughly enjoyed the in-depth discussions to developing skills of intuition when reading financial statements and just in general when reading business news. The course was challenging, but the way it was presented had me asking questions and seeking knowledge more than the scope of the course. Thank you, Sean, for exciting me about Valuation and Intuition moving forward in this program and in the real world.”

— Spring 2025

“I have my undergraduate and masters in accounting so I have taken my fair share of accounting course in my life. Sean Wang could be in my top 2 accounting professors that I have ever had.
He is enthusatic about accounting
He is organized and prepared for the class lecture
He teaches in a way that is simple in learning complex concepts.”

— Spring 2025

“I'm not a huge fan of accounting, but Professor Wang used real-life examples that not only kept me engaged but also helped me better understand the concepts he was conveying to us students. On top of this, his teaching style of guiding us to use intuition throughout the course helped me connect what I previously thought of as complex subject matter into straightforward, tangible concepts.”

— Spring 2026

“He tied in his real life experiences and real world examples that made learning more interesting and applicable to my daily life. I have yet to find a class that made me as interested and engaged by fully understanding the material and how it relates to our everyday financial events. Having a teacher that not only teaches the material, but makes sure we understand why the material is important and relevant to everyday lives is the reason that I chose to come to SMU to get my MBA and Professor Wang did an exemplary job and I would love to take more of his classes.”

— Spring 2025

What students consistently ask for

419 improvement-oriented comments, thematically grouped.

By a wide margin, the most common piece of constructive feedback I receive — across roughly 14% of improvement comments over a decade — is to provide additional practice problems and worked examples. It is the only suggestion to appear consistently in every academic year. I have been steadily incorporating more pre-class problem sets and TA-led review sessions in response, and continue to refine the balance between conceptual class discussion and procedural practice.

Source: SMU Cox official end-of-semester course evaluations, Fall 2018 through Spring 2026. Fall 2018 and Spring 2019 used the prior 7-point Cox-specific instrument (20 numeric questions); all later semesters use SMU's current 5-point university-wide instrument (7 numeric questions). For the unified semester-by-semester trend, both scales are normalized as a percentage of their respective maxima. Raw response files available on request: hello@profsean.wang.
// contact

Let's connect

SMU Cox School of Business · 6212 Bishop Blvd, Crow 375 · Dallas, TX 75275

seanwang (at) smu (dot) edu Google Scholar SSRN LinkedIn ↓ Download CV