Why do different analysts give different rating for stocks?

Two analysts want to buy the stock. Another one say hold and then there is another analyst say market perform. Few others are neutral.

Who should we trust? I can remember some analysts downgraded some stocks to market perform. Neutral and hold. Even few analysts downgraded to sell.

Some of those stocks went up during last 7 months. Egg. BAC, MSFT. Intel

Nobody down graded general mills during last 8 months. But stock price did not appreciate much. Except one analyst others are not talking abut Cal-Mine foods Egg Company. Now it is appreciating gradually. Nobody realized CALM is an undervalued stock.

Thanks.

Best Answer

alanj answered a question in General Market.
2082 points

alanj answered 4 months ago …

Analyzing stocks is not an exact science, it's more of an art. And as such you can have two different analysts using different methods of analyzing stocks which will result in a different conclusion.

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