A Technical Assessment of Analyst RatingsMarch 06, 2015
Regular readers are aware of the place that point-and-figure technical analysis plays in our investment process (for more details on the methodology, including information on our proprietary modifications to the discipline, see here). We find this tool particularly useful in helping us identify investment opportunities where, in spite of decent (or even very good) fundamentals, the market disagrees. As we have outlined before (see here), analyst ratings are not always consistent with the trend in a particular stock’s price. Taking a look at the handful of equities for which ratings changed today, we can see just where this tool becomes helpful.