Commentary: When stock analysts move markets, should retail investors follow?
CNA · Roger Loh ·
Retail investors should be cautious about buying or selling shares simply because they read in the news that an analyst has changed a recommendation, says NTU finance professor Roger Loh.
Retail investors should be cautious about buying or selling shares simply because they read in the news that an analyst has changed a recommendation, says NTU finance professor Roger Loh.
SINGAPORE: Shares of at least two Singapore-listed firms made headlines last month after their shares fell sharply following downgrades by stock market analysts.
OCBC shares tumbled nearly 6 per cent on Oct 7 after Citi cited softer-than-expected third-quarter earnings expectations and downgraded the bank to “sell”. Days later, Sheng Siong shares fell as much as 3 per cent on the back of a downgrade by Maybank to “hold” and a cut in target price.