Preventing the crash of stock prices and guaranteeing the steady of the capital market ha ve become a significant issue when the strong supervision of financial risk becomes a consensus. Taking the A-share listed companies as research sample, this paper takes the enterprise innovation behavior into analysis framework of the stock price crash risk, and the study found that corporate innovation can curb the crash risk of stock price effectively, especially in the firm facing with strong financing constraints and the information transparency is equivocal. The research in this paper provides a new idea for the market value management of listed companies, and it also helps to control financial risks, maintain capital market stability; more importantly, it enriches the existing literature.
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