cfoent,
Good question. Due to my extensive experience in the Securities business, let me try to help you by pulling out my "Guide to Security Analyst's Recommendations" dictionary. Hope this helps!
Strong Buy = Our company has loaded up on the stock and needs the individual investor to help run up the price.
After a decent runup, this will be reduced to a
Buy = We've just made a killing, and we want to preserve our gains, yet, we want it to continue going up. We want to hedge our position, so we are calling it a BUY, but it's still a downgrade, thus, we can't be wrong in either case.
Later still, this will be changed to an
Accumulate = It ran up too far, too fast. We want to buy tons more. We still love the stock, so we can't say to sell it, but we want to make it look like a downgrade, by knocking it a level, but we still want to be seen as correct no matter what happens so we'll use this ambivalent terminology so you don't know what the hell we mean.
I know this may be confusing to the average investor, so I hope I didn't go over anyone's head :-))
Much continued success!
Kaiser (Buy it, hold it, ignore the analysts)! |
