Social Media Networks and Stock Price Synchronicity: Evidence from a Chinese Stock Forum.
The widespread communication and interaction between small investors on social media in the capital market has resulted in the formation of a social media network specific to listed companies. Using a unique dataset from an active online stock forum in China, we construct a social media network of l...
| Published in: | Abacus Vol. 61; no. 2; pp. 419 - 462 |
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| Main Authors: | , , , |
| Format: | Article |
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Wiley-Blackwell
Jun2025
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| Subjects: | |
| Online Access: | View this record in EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=hlh&AN=185659969&site=ehost-live header: @attributes: shortDbName: hlh uiTerm: 185659969 longDbName: Humanities International Complete uiTag: AN controlInfo: bkinfo: jinfo: jid: 00013072 AUB jtl: Abacus issn: 00013072 maglogo: Y pubinfo: dt: Jun2025 vid: 61 iid: 2 pid: 480 pub: Wiley-Blackwell artinfo: ui: 185659969 10.1111/abac.12341 ppf: 419 ppct: 43 formats: fmt: – @attributes: type: T – @attributes: type: C – @attributes: type: P size: 1.3MB tig: atl: Social Media Networks and Stock Price Synchronicity: Evidence from a Chinese Stock Forum. aug: au: Guo, Feng Lyu, Bin Lyu, Xiaoliang Zheng, Jiandong affil: Shanghai University of Finance and Economics,, China Shanghai University of International Business and Economics,, China Northwest University,, China su: Social media Stock prices Efficient market theory Network effect Information dissemination Investors Coincidence China sug: subj: China Social media Stock prices Efficient market theory Network effect Information dissemination Investors Coincidence keyword: Capital market efficiency Social network analysis Stock price comovement Stock price synchronicity ab: The widespread communication and interaction between small investors on social media in the capital market has resulted in the formation of a social media network specific to listed companies. Using a unique dataset from an active online stock forum in China, we construct a social media network of listed companies by assigning listed companies as nodes and common commenters who post in each of the subforums for two listed companies in a year as edges. Then, we investigate the relationship between the network centrality of the listed companies and stock price synchronicity. The results show that there is a significantly negative relationship between the social network centrality of listed companies and stock price synchronicity, indicating that social media networks can improve the price efficiency of capital markets. The mechanism analysis shows that social media networks can produce more corporate‐specific information and improve the efficiency of information dissemination, thus reducing stock price synchronicity. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: Y custom: Copyright of Abacus is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. item: Abacus holder: Wiley-Blackwell dt: @attributes: year: 2025 holdings: @attributes: islocal: N |
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