Why do analysts’ reports exist?
Possibly like sheep, it is of innate human nature that we seek social proof and validation. When we fall in love with a stock we researched on, we actively seek out affirmation in the media. Often, you would be finding analysts’ reports and consensus that are in your favour.
The more satisfied you get, the more you want to read up on them. Very soon, you will end up just listening to the analysts’ consensus.
The reason why the industry is so lucrative is that it is able to exploit the human psychology. The logic is very simple.
Majority of investors are always looking for activity and are unable to sit still. They will always be researching for the next stock to buy, and which stocks within their portfolio should they be selling.
In this article, we will be sharing 3 reasons of why we should
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