The information content of Value Line Investment Survey rank changes is investigated. The results suggest rank changes affect common stock prices, but the effect varies by the type of rank change. Changes from rank 2 to rank 1 have the most dramatic impact on prices. A cross-sectional analysis finds small firms have a greater reaction to a rank change than larger firms, which supports theories on the frequency of report arrival and precision of information. A speed of adjustment test concludes the prices of individual securities adjust to the information in a rank change over a multiple-day period.

We investigate stock market rationality by examining the timeliness and unbiasedness of the market's response to dividend announcements. Our initial findings for market timeliness show a sluggish market reaction to dividend announcements; however, when the ex-dividend effect is controlled for, we find no evidence of a sluggish market reaction. We examine the unbiasedness of the market's response by testing whether the net announcement effect across a sample that is devoid of ex-post selection bias sums to zero. We observe a significant positive net announcement effect and examine several plausible conjectures for this puzzling phenomenon, but none provides a satisfactory explanation.