TY - JOUR T1 - Mergers and Acquisitions in a Global Context JF - The Journal of Investing SP - 29 LP - 35 DO - 10.3905/joi.2001.319459 VL - 10 IS - 2 AU - Ronald Q. Doeswijk AU - Hemmo S.K. Hemmes Y1 - 2001/05/31 UR - https://pm-research.com/content/10/2/29.abstract N2 - Using a global sample of mergers and acquisitions in 1998, this article examines the short-term reaction of stock prices and analysts' earnings estimates to the announcement of a merger or acquisition. Targets and merging firms outperform the market in the period before and on the day of the announcement. However, merging firms show a significant underperformance immediately there after. Moreover, we find a lack of upward revisions in consensus earnings estimates for the post-announcement years. This suggests that synergies are hard to find. ER -