Increasingly, Just One Analyst Is Behind a Stock’s Long-Term Earnings Forecast

Based on casual analysis, it seems there has been a decline in the number of analysts making long-term earnings forecasts on publicly traded stocks. When the subject was raised during a regular portfolio review meeting, we lacked the evidence to support or debunk this hunch. So, using AAII’s Stock Investor Pro stock screening and database…

 

Driehaus Screen for Growth and Momentum Stocks

Momentum investors seek rapidly growing companies with prices to match. Their hope is that continued growth will attract additional investors who will continue to drive up the stock price. That investment philosophy, centered on earnings growth, underlies the approach used by Richard Driehaus, who was named to the Barron’s All-Century Team of All-Stars in 2000….

 

David Dreman’s Contrarian Approach to Stock Selection

This week’s AAII Weekly Digest highlights these “must-read” AAII articles:   Shorting: A Strategy for Profiting From Price Declines AAII Journal editor Charles Rotblut discusses short selling with Greg Swenson, co-manager of the Grizzly Short Fund (GRZZX). Swenson offers insights into how he identifies potential short-sale candidates and how investors may handle the risks inherent…

 

9 Rules for Better Stock Investing

This week’s AAII Weekly Digest highlights these “must-read” AAII articles: Why Value Beats Growth: A Brief Explanation The various characteristics of stocks that generate higher returns than what the capital asset pricing model (CAPM) would predict are known as “stock market anomalies.” Two of the most famous anomalies are size and value. This article sets out…

 

Constructing Winning Stock Screens

This week’s AAII Weekly Digest highlights these “must-read” AAII articles: Going From Stock Screen to Real Portfolio Today, quantitative stock-picking screens are just about everywhere. A few clicks on any of a myriad of financial websites, and you’ve got it. AAII and other sites even have a number of guru-inspired screens. But choosing a good strategy…

 

Look Beyond Your Comfort Zone for Investment Gains

When was the last time you looked at a company you never heard of? How about a company whose name sounded somewhat familiar, but you can’t recall why and otherwise you don’t know anything about? If your answer is rarely, never or not in a long while, you’ve got plenty of company. We humans engage…