A second distinguishing characteristic is that timeliness of information is not an overriding
issue. Although value relevance research encompasses event studies, it also includes
studies that examine the relation between the levels of stock prices and the accounting data.
The timing of the information is of primary concern in the event-study research design.
Event studies examine the stock price reaction over short windows of time centered on the
announcement date. They identify the date of the public disclosure of the item being studied
and examine the price change (usually in percentage terms and adjusted for market-wide
movements) surrounding the event data