Addi,
As you know I work for a large Mutual fund Institution.
To sum it all up , most Analysts are like sheep , or as CNBC puts it , like
Penguins jumping in the water. Very few analysts will put a buy recommendation on stocks that are out of favor , but man do they love them when they are in favor . The opposite usually goes for sell rec's Why do you think AOL and the rest of the Internet stocks continue to go up , who cares about valuation !!! and earnings !!
Its the same mentality in how the majority of Institutions Invest.
Ever wonder why Money flow is so important , well new money that flows into Institutions has to be invested immediately .
When we crashed in October there was a huge outflow of $$$ from
some of our clients. Large negative money flow.
Its the same when it comes to purchasing stocks , most money managers dont like to buy out of favor - sectors or stocks.
Anyway I know you have that $ 70 price target , do you self a favor
Don't get blindsided if momentum and sentiment changes before on the
way up .
For the record , I still like the stock , but the market concerns me .
Mark |
