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Buy Stocks When There is Wall Street Consensus


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Buy Stocks When There is Wall Street Consensus

(New York)

A lot of of investors don't really know what to do with Wall Street equity research. While certain analysts are very insightful, the misaligned interests and intentional underestimation sometimes make it hard to separate what to listen to from what to ignore. However, there is a clear way to make purchases based on Wall Street forecasts-when there is a heavy consensus on a stock, buy it. The key signals to look for are when price targets are similar across all analysts, and when all are saying "overweight" or buy. Such occurrences are not as common as many might think, but they are very potent when they do appear.

FINSUM : This makes some sense as equity research analysts are a reflection of the general sentiment amongst institutional investors. If all seem to be positive, then the underlying feeling on that stock is bullish.

  • stocks
  • Growth
  • wall street
  • Equity Research
  • analysts

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.





This article appears in: Investing , Stocks



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