How accurate are Financial Analyst Stock Ratings, really?
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Financial Analysts of well-known brokerage firms release public stock ratings to provide buy/sell/hold recommendations for investors. These ratings are an attempt to use a company’s current performance to make predictions regarding the company’s future price trend.
The rating process is often complex and takes different data sources into consideration such as financial statements, press releases, general market news as well as info from company conference calls. These ratings are often provided quarterly and for a target date of a year or less.
But how accurate are these ratings, really? Well, we can find out by comparing historic ratings and price targets and with the actual price data.
If you are intrigued to find out more, this post is for you!
This story is solely for general information purposes, and should not be relied upon for trading recommendations or financial advice. Source code and information is provided for educational purposes only, and should not be relied upon to make an investment decision. Please review my full cautionary guidance before continuing.
