Abstract: The investigation of the accuracy of security analysts’; earnings forecasts of firms listed on the JSE demonstrates that analysts display a pattern of increasing accuracy as the announcement date approaches. A declining trend in the level of error, using both the average absolute percentage error and Theil‟s inequality coefficient methods, is observed. A 1-month forecast horizon displays a 7,95% of average absolute percentage error and 0,07 Theil‟s inequality coefficient, while a 6-month horizon results in 16,66% average absolute percentage error and 0.1 Theil’s inequality coefficient. The 12-month horizon depicts a 23,62% of average absolute percentage error and 0,17 Theil’s inequality coefficient. This result is consistent with findings of prior international research.
