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Posts Tagged ‘ analysts ’

A Short List of Common Mistakes Money Managers Make

By
May 23, 2013
TEST6money managers

What errors do most money managers make today? Chasing performance Over-diversification Benchmarking / Hugging the index Over-trading Relying too heavily on earnings growth Analyzing the income statement only Refusing to analyze industries Buy newsy companies Relying on the sell-side Trusting management too much   Let me handle these one-by-one: Chasing performance In writing this, I am not against using momentum.  I am against regret.  Don’t buy something after you have missed most of the...
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Yahoo! Inc. Buys Tumblr: Analysts Skeptical of Price

By
May 20, 2013
TEST6Yahoo!

Yahoo! Inc. (NASDAQ:YHOO) board has approved the acquisition of the blogging platform and the deal has been announced on Monday. Normally analysts love mergers and scream about the magic word ‘synergies’. However, some (but of course not all) analysts are a bit skeptical about the price Yahoo! is paying for Tumblr. Despite Tumblr taking the crown as the 32nd most visited website in the world (according to Alexa.com), the firm only generated $13 million in...
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Tesla Motors Inc (TSLA), GRPN: Are Analysts Ahead Of The Curve?

By
May 1, 2013
TEST6TSLA Tesla Motors logo

Analysts are usually revered pieces of flesh in markets and even though they are often proved wrong, a formidable counter attack to their line of thinking can only be successfully presented with the help of hindsight. While the amount of research that goes into their recommendations is phenomenal, they have their own share of mistakes like most other people. This naturally beg the question if the recent stock upgrades of Tesla Motors Inc (NASDAQ:TSLA),...
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49% of Sell-Side Recommendations Underperform [STUDY]

By
April 16, 2013
TEST6Analysts ratings 1

Most individual investors rely on ratings from Wall Street research analysts when investing their hard earned money. But the big question is: are these analysts as reliable as retailer investors expect them to be? A study conducted by NerdWallet gives an entirely different picture. Let me tell you one thing, most of the time you are far better off investing in low cost mutual funds, rather than investing in individual stocks recommended by an analyst. NerdWallet...
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Value Investor or Imposter? Take this 10 Question Quiz

By
April 4, 2013
TEST6Value Investing Net-Nets

I ran across this article, Value Investor or Value Pretender: Which Are You?, by John Mihaljevic who puts out The Manual of Ideas, along with Oliver Mihaljevic.  I appreciate what they do — you can learn a lot from their organization. I told him that I was going to write this, and he said to me: The piece was meant tongue-in-cheek but feel free to rip it apart :) I will rip it apart, but gently, because every...
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Apple Inc. (AAPL) Needs to Counter Samsung Now: Barclays

By
February 19, 2013
TEST6apple

Apple Inc. (NASDAQ:AAPL) Needs to Deal with this Threat in right away.To say that the Samsung momentum is an issue for Apple is an understatement, according to analysts at Barclays research, who recently issued a new research note. Hedge funds have been aggressively selling Apple Inc. (NASDAQ:AAPL) during Q4.  Analysts at Barclays believe that not only is Samsung helping its own cause, but its success catalyzes Android as well. As a result, they “need to see”...
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Linkedin and Sell-Side Recommendations

By
February 10, 2013
TEST6Linkedin upgrades

The following chart will come as no surprise to value investors, but the point needs to be re-iterated. Linkedin got at least five upgrades following their strong quarterly earnings (I say at least because we do not get access to every firm so it could be even more). I am not attacking the sell side. In fact, I believe the buys ide loves to bash the sell side, but the buy side is just...
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2012: The Year Buyside Analysts Deserve The Blame

By
December 28, 2012
TEST6losing money

Over the last twenty years, a lot of research has been done to assess the performance of sell-side analysts (i.e., analysts working for independent research firms, brokerage firms and investment banks). Many studies show that their forecasts are pretty bad. At the end of the year people like to poke fun at some of the predictions. We are guilty as well, and  our article on Knight Capital Group Inc. (NYSE:KCG) sellside predictions proves this. However,...
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Facebook Inc (FB) A Big Winner In Shift To Mobile: Goldman Sachs

By
December 10, 2012
TEST6Facebook mobile

Facebook Inc (NASDAQ:FB) has a bright future ahead, according to a new report from Goldman Sachs analysts.  Facebook Inc (NASDAQ:FB) is one of a few companies for which the shift to mobile brings better pricing and is margin accretive. Facebook also will benefit from Ring 1 and from Spotify. HTML 5 is far off as Goldman Sachs’ survey shows. Goldman Sachs views the rise of smartphones and tablets as a tailwind to the company’s core ad business...
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Apple Inc. (AAPL) Winner, Google Inc (GOOG) Loser As Tech Evolves: GS

By
December 9, 2012
TEST6apple winner as tech industry evolves according to a report from Goldman Sachs (GS)

Apple is going to be one of the big winners as the tech industry evolves, according to analysts at Goldman Sachs (GS). GS analysts released a 79 page report on the future of the tech industry, and they note that Apple Inc. (NASDAQ:AAPL) will be in good shape as smartphones and tablets converge, however, Google is facing trouble. Many debate whether “open” or “closed” platforms will dominate today’s compute landscape of smartphones and tablets. According to...
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Hurricane Sandy Economic Forecasts Will Be Totally Wrong: RBC

By
October 29, 2012
TEST6hurricane sandy

Pundits are trying to predict the impact of Hurricane Sandy on politics, economics etc. We have been curious about the impact on non-farm payrolls this Friday, and weekly jobless claims this Thursday. the BEA has now announced that they may have to delay the results. RBC Capital is out with an extremely interesting report on Hurricane Sandy. In short, it shows that not only are predictions wrong, (underestimated or overestimated), but sometimes the exact...
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