원가하방경직성의 정보효과：주가붕괴위험이 높은 기업을 중심으로

[Purpose]The purpose of this study is to examine whether the degree of cost stickiness in firms with high stock price crash risks indicates a failure of cost controls or a positive signal of future performance in the capital market. [Methodology]This study identifies the relation between stock price crash risks in the base year and the degree of cost stickiness in the subsequent year through regression analysis for firms listed on the Korea Stock Price Index, from 2011 to 2018. In addition, this study examines the moderating effect of corporate governance on the relation between these two. For the rubustness test, it also tests the variation of future earnings as the degree of cost stickiness in firms with high stock price crash risks is increasing. [Findings]The main findings of this study are as follows. First, there is a positive relationship between stock price crash risks in the base year and the degree of costs stickiness in the subsequent year. Second, among firms with high stock price crash risks in the base year, there is a positive relationship between the degree of cost stickiness and abnormal returns in the subsequent year. Lastly, those positive abnormal future returns are obtained only when firms have decent corporate governance structure. [Implications]This study makes several contributions to the literature. First, extant literature only focuses on the determinants of stock price crash risks. However, this study extends the literature by showing managers’ ex－post effort to overcome a stock price crash. In addition, by highlighting the unique role of the cost stickiness as a positive signal of future profits for firms with high stock price crash risks, this study provides useful information to the capital market.