We examine post-earnings-announcement drift (PEAD) in the Taiwan stock market and analyze its relationship with the 52-week-high anchoring. The empirical results are as follows: First, unexpected earnings positively affect subsequent abnormal returns, whereas the proximity of a stock price to its 52-week high negatively influences subsequent abnormal returns. Second, the magnitude of subsequent abnormal returns in response to unexpected earnings is decreased when the current stock price is near its 52-week high. Finally, we reveal that a high level of foreign institutional investor ownership can mitigate the PEAD effect. However, the PEAD effect is strengthened in the subsample with high board director ownership.