Analysts’ “buy” and “sell” tips have almost no effect on share prices, according to research that confounds long-held beliefs over the influence of stock-pickers and calls into question investors’ and banks’ need to pay for their services, the FT reported. “Our results suggest that analysts aren’t the market movers and shakers the world has come to think of them as being – not by a long shot,” said Robert Hansen of Tulane University, who co-authored the study. “Analysts’ recommendations don’t add much value and investors know it.”

This entry was posted by Stacy-Marie Ishmael on Monday, May 18th, 2009 at 4:40 and is filed under Capital markets. Tagged with analysts. Edit this entry.