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Strategies & Market Trends : Stock Attack -- A Complete Analysis

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To: donald sew who wrote (33853)10/23/2000 10:33:36 AM
From: Paul Shread  Read Replies (2) of 42787
 
The problem with The Analyst Game is that they have to sell their firms' financial services to the companies they cover. That makes them very close to the companies they cover, because no analyst can afford to get frozen out, and the selling focus gives them less time to actually analyze the companies they cover. It's very smarmy, and results in the after-the-fact calls you referred to. Only when a stock is beaten down can an analyst change his or her view, when it's already obvious to the rest of the world. Plus there's that game of downgrading before a stock opens for trading; the overnight drop then looks good on an analyst's record, even though the analyst completely missed the call. A stupid game, ripe for reform. Where's Levitt when something really needs to be reformed?

FYI, hope you guys bought MRK when it broke 80 on Friday.
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