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PEAD — Post-Earnings Announcement Drift

Post-Earnings Announcement Drift cards — the Closelooknet Pattern Engine measures the 3-day cumulative abnormal return after every earnings event in our coverage and classifies the signal as Long, Short, or None with a 0–100 conviction score. Each card publishes 3 trading days post-event, when the reaction window has fully unfolded; the holding window runs T+3 → T+63. See the full Lab Read at /reports/post-earnings-drift/ and the methodology summary at /lab/patterns/pead/.

AI-generated — produced automatically by Closelooknet’s systems under this site’s editorial policy.

All entries · Methodology · How is this calculated? · Why does PEAD work?

Latest PEAD cards

What PEAD cards are

Post-Earnings Announcement Drift is the tendency of a stock to keep moving in the direction of its earnings surprise for weeks after the report. It is one of the longest-documented anomalies in equity markets, first described in academic research in the late 1960s, and it persists because the market digests earnings information gradually rather than instantly.

The Closelooknet Pattern Engine measures it mechanically. Three trading days after every earnings event in our coverage, it computes the cumulative abnormal return (CAR) over the reaction window and classifies the signal as Long, Short, or None with a 0–100 conviction score.

The card publishes at T+3, once the immediate reaction has fully unfolded; the drift window it tracks runs from T+3 to T+63. Follow-up cards mark continuation or invalidation at checkpoints — a T+5 confirmation is the first.

FAQ · from the current data

Quick answers

What is Post-Earnings Announcement Drift (PEAD)?

PEAD is the tendency of a stock to keep drifting in the direction of its earnings surprise for weeks after the report, rather than repricing instantly. It is one of the most persistent documented anomalies in equity markets, known in academic research since the late 1960s.

How does Closelooknet score a PEAD signal?

The Pattern Engine computes the 3-day cumulative abnormal return (CAR) after every covered earnings event and classifies it Long, Short, or None with a 0–100 conviction score. Cards publish 3 trading days after the print; the tracked drift window runs T+3 to T+63, with continuation or invalidation marked at checkpoints along the way.

Where is the full PEAD methodology?

The methodology summary lives on the PEAD pattern page in the Lab, and the full research write-up is the post-earnings drift Lab Read. Signals are research diary readings, not investment advice.

PEAD — Post-Earnings Announcement Drift

Latest PEAD cards

ANET PEAD continuation: T+3 ↑LONG confirmed at T+5 (CAR +13.01%)

IVN.TO PEAD continuation: T+3 ↓SHORT confirmed at T+5 (CAR -9.82%)

ACLS · PEAD ↑ 80

ABNB · PEAD ↑ 82

AAON · PEAD ↑ 80

AAOI · PEAD ↓ 100

FRPT · PEAD ↓ 30

ELF · PEAD ↑ 88

DDOG · PEAD ↓ 80

COHR · PEAD ↑ 68

CGNX · PEAD ↓ 80

LR.PA · PEAD → 0

KTN.VI · PEAD → 0

ATS.VI · PEAD → 0

CAVA · PEAD ↑ 51

CAMT · PEAD ↓ 43

BROS · PEAD ↓ 100

035720.KO · PEAD → 0

AEIS PEAD reversal: T+3 ↓SHORT faded — T+5 closes -0.84%

FN PEAD reversal: T+3 ↓SHORT faded — T+5 closes +12.21%