Analyzing the Analysts and Stock Pickers
In This Chapter
Accessing analysts’ reports online
Evaluating analysts to determine which ones are worth listening to
Deciding whether stock-picking newsletters and websites are worth the money
Understanding the “whisper number”
Getting stock ratings from other investors online
When you’re looking to make a big purchase, such as a car, house, or big-screen TV, you probably ask other people questions before making your decision. You might ask a friend or family member for his recommendation or consult with a magazine or website that ranks products.
Recommendations play an important role for some investors when picking stocks, too. Traditional brokers have long made it their business to recommend stocks for their clients to buy. And even before the hot dogs hit the grill, many family barbeques start sounding like an investment club meeting as everyone brags about his winners (and somehow fails to mention stocks he’s lost money on). ...