J
Johnnot
Guest
Am I the only person flabbergasted by the inconsistency of analysts' advice? Oh, a company is a buy at €5; a sell at €4; a buy at €10; a buy at €100; oh no you should sell now at €80, or should I say €8 etc.etc.
The usual nonsense reply to this is that this volatility only reflects market sentiment. Well if all they are being paid for is to recognise market sentiment then I might as well pay my taxi driver. What happened to fundamentals, analysis and understanding of profit drivers, sustainability of profits etc.
The latest nonsense is support by well known Irish fund managers and advisors/analysts for a well known Irish telecom company. When little has changed in an industry, valuations suddenly are up and oversubscribed 'cos "sentiment is better". I read of companies shares being attractive 'cos they are paying out a high dividend in the first year. Pardon? Can't any company pay out a huge amount in year 1, but unless that goes on forever how can that be any indication of the worth of the company? Scary stuff. Yet, these are the people charging huge amounts to pension scheme trustees, the public etc. to provide 'advice'. They seem to me to exist purely to prompt others to purchase/sell shares in order to earn fees. The 'advice' is a meaningless piece of hopelessly inconsistent tomfoolery designed to front this activity. The sooner this is investigated, and their shocking track record exposed the better.
The usual nonsense reply to this is that this volatility only reflects market sentiment. Well if all they are being paid for is to recognise market sentiment then I might as well pay my taxi driver. What happened to fundamentals, analysis and understanding of profit drivers, sustainability of profits etc.
The latest nonsense is support by well known Irish fund managers and advisors/analysts for a well known Irish telecom company. When little has changed in an industry, valuations suddenly are up and oversubscribed 'cos "sentiment is better". I read of companies shares being attractive 'cos they are paying out a high dividend in the first year. Pardon? Can't any company pay out a huge amount in year 1, but unless that goes on forever how can that be any indication of the worth of the company? Scary stuff. Yet, these are the people charging huge amounts to pension scheme trustees, the public etc. to provide 'advice'. They seem to me to exist purely to prompt others to purchase/sell shares in order to earn fees. The 'advice' is a meaningless piece of hopelessly inconsistent tomfoolery designed to front this activity. The sooner this is investigated, and their shocking track record exposed the better.