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Anonymous

18 Apr 2019

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Stocks

How seriously should i take into consideration online stock recommendations by analysts when making my investment decision?

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They are there for your reference. However, do your own homework before investing in anything! Figure out why those stocks are recommended, and whether the reasons given in the recommendations are justified.

Read these for a better understanding and relevant stock information and trends you might have missed out. However never buy in simply because of their recommendations- do your own due diligence and ideally your own DCF(if you are fundamental analysis investor)

That is why equity research analysts can come up with vastly different recommendations with the same knowledge- buy/sell/hold. The publishing of these Equity Reports from large investment firms and banks often have hidden agendas as they/their big clients hold these individual stocks in their portfolios and thus have an incentive to promote and convince general market sentiment towards their position.

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