Why are Wall Street stock analysts clueless?

Discussion in 'Stocks' started by zdreg, Dec 4, 2023.

  1. zdreg

    zdreg

    re: Hawaiian Holdings
    Based on 6 Wall Street analysts offering 12 month price targets for Hawaiian Holdings in the last 3 months. The average price target is $4.00 with a high forecast of $5.00 and a low forecast of $3.00. The average price target represents a -17.70% change from the last price of $4.86.

    merger price $18
    What did the analyst miss in pricing Hawaii Airlines?

    Susquehanna Maintains Neutral on Hawaiian Holdings, Lowers Price Target to $4
    date: 10/23/23
     
    Last edited: Dec 4, 2023
    semperfrosty and murray t turtle like this.
  2. maxinger

    maxinger

    A Stock Analyst is exactly the same as a professional writer.

    A Stock Analyst is not a professional trader/investor.
     
  3. The market is pretty efficient man…

    I think dunking on Wall Street analysts is tired already …. That’s a really hard job you should try it. Markets are (obviously) very hard to predict.
     
  4. zdreg

    zdreg

    Try answering the question specifically to HA.
     
  5. Specterx

    Specterx

    Wall Street analysts perform a valuable function, which is to establish a baseline range of expectations. For a fundamental analyst or value investor, that gives you a place to start and a quick gauge to see if you own view is bearish or bullish vs the street.

    The analysts being right is not really the point, any more than eg Cathy Wood is supposed to be right on her stock calls.
     
    semperfrosty and vanzandt like this.
  6. Bad_Badness

    Bad_Badness

    This is a "sell side"* analyst. Same reason a car salesman always recommends some car to buy.


    *look it up.
     
    murray t turtle likes this.
  7. 2rosy

    2rosy

    Weren't most sell side research departments disbanded due to their uselessness
     
  8. Sergio123

    Sergio123

    Hard to predict, but not necessarily a hard job if there are no bad repercussions for being wrong.
    Just feed the numbers to machine learning/AI to crunch the numbers to predict what the stock is worth.
     
    Axon likes this.

  9. They fall under the same category of YouTuber traders who are selling systems... If the system worked they wouldn't need to sell it. If an analyst is right the majority of the time, he wouldn't need to have a job as an analyst.
     
    traderx123 likes this.
  10. zdreg

    zdreg

    observation: 7 useless, off topic responses
     
    #10     Dec 4, 2023