Posted on 01/31/2015 6:16:29 AM PST by Red in Blue PA
A portfolio of the stocks most hated by Wall Street analysts beat the overall stock market by a wide margin in 2014.
Again.
The 10 stocks rated the worst investments on Wall Streets by analysts at the start of 2014 produced an overall return of 19% during the year, including reinvested dividends, according to my analysis using FactSet data.
That beat the S&P 500 SPX, -1.30% by a hefty five percentage points — or, to put it another way, it earned you nearly a third as much as again a simple index fund.
(Excerpt) Read more at marketwatch.com ...
ping
Be very careful out there. Commodities are falling sharply and so is the Baltic Dry Index, which just hit a 28 year low.
What was risk compared to market?
One must think like the CEO of the company.
If the stock value is ridiculous compared to actual value or the value an IPOwould generate, buy back and regain control your stocks. Then later on do your own little overpricred IPO.
Lost a lot of money with AA
I bet the gold stocks would be on the list. Haters gonna hate.
Anyone can have a perfect record picking stocks AFTER they have made their move. The trick is picking them for NEXT year.
Trying to sucker people into stocks for a further drop. No one publishes the right stocks to buy, they just buy them and keep their mouths shut.
We are in Captain Obvious territory here.
The past year has been a bull market. Anybody can make money in a bull market.
The ten most-hated stocks did well, and the ten most-liked did better.
Let’s see what happens when the QE rug gets pulled.
I picked up some gold miners in the past year. The negativity toward them is off the charts.
You mean beat-down stocks like Radio Shack, Kodak, GM, Chrysler, Blockbuster (and any newspaper stock) a few years ago? Gosh, if I had just bought all of those, I’d be a gazillionaire, right?
Who ever said to by just any stock because it fell?
Hmmmm.....yes, it doesn’t seem possible. I mean there are thousands of penny and pink sheet stocks that an expert might recommend against buying.
Feels like too few dollars chasing too many goods doesn’t it?
When you look around it may be hard to tell sometimes but people are not buying what they did as they did. They don’t have disposable cash.
$16.00 for a small roast? That is what is doing it. That and shrinking wages. The median working household makes less than the average welfare drone gets in benefits by about 10%. That dog won’t hunt for very long.
A simple explanation from the article:
“As a generalization, when all the analysts on Wall Street “hate” a stock the price often gets set too low. No one wants to touch it. As a result, those willing to buy the most hated stocks frequently get a bargain.”
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