Posts filed under “Analysts”

Sell Side Indicator Still Shows Extreme Bearishness

Wall Street pays QE3 no mind

Source: Merrill Lynch

 

Merrill Lynch’s Equity & Quant Strategist, Savita Subramanian, notes that Wall Street is still excessively bearish, and that this remains a reliable contrarian indicator:

The Sell Side Indicator is based on the average recommended equity allocation of Wall Street strategists as of the last business day of each month. We have found that Wall Street’s consensus equity allocation has historically been a reliable contrary indicator. In other words, it has historically been a bullish signal when Wall Street was extremely bearish, and vice versa. See our November report for more details on the Sell Side Indicator.

 
 

Source:
Wall Street pays QE3 no mind
Savita Subramanian
Equity & Quant Strategy
01 October 2012

Category: Analysts, Data Analysis, Psychology

UBS: Not All Municipalities Are the Same

In light of the California bankruptcies and the usual belated downgrades comes this nice overview on Municipalities from UBS analysts Thomas McLoughlin and Kristin Stephens, titled Municipal Bonds: City credit quality reconsidered. They did a screen of credit quality via the Merritt Research database of 284 cities, and note come to the oft overlooked conclusion…Read More

Category: Analysts, Credit, Fixed Income/Interest Rates

The Occasional Yin and Yang of Research

Two reports from different wirehouses caught my eye yesterday due to their amazing Yin and Yang nature. First up, the always excellent Equity & Quant Strategist at BAML, Savita Subramanian (the Yin), issued a report titled Wall St. Proclaims the Death of Equities. The report discusses the firm’s proprietary sell-side indicator, which has reached near…Read More

Category: Analysts, Data Analysis, Earnings, Investing, Markets, Research

Picture Guide to Financial Markets Since 1800

Equity prices & bond yields since 1900   I don’t often give props to big Sell Side firms, but today I must make an exception. Merrill Lynch’s Equity Strategy group put out The Longest Pictures: Picture Guide to Financial Markets Since 1800 this week. Its a 102 page doozy looking at every asset class and country going back…Read More

Category: Analysts, Investing, Markets

Facebook Analyst Coverage: Meh!

6 Buys, 3 Neutrals Average Price Target = $39 BofA/Merrill – Neutral – $38 PT Goldman Sachs – Buy – $42 PT Oppenheimer – Outperform – $41 PT JPMorgan – Overweight – $45 PT Piper Jaffray – Overweight – $41 PT Wells Fargo – Outperform – $37-$40 Range Credit Suisse – Neutral – $34 PT…Read More

Category: Analysts, IPOs, Valuation

So much for fair and timely disclosure for everyone…

*MOODY’S DOWNGRADE WILL INCLUDE 5 U.S. BANKS SAYS CNBC *CNBC SAYS B OF A L-T DEBT RATING TO BE CUT BY 1 NOTCH BY MOODYS *CNBC SAYS CITI, JPM AND GS L-T DEBT RATING WILL BE CUT 2 NOTCH *DOWNGRADE OF BIG GLOBAL BANKS FROM MOODY’S IMMINENT:CNBC

Category: Analysts, Credit, MacroNotes, Think Tank

Quick Look at Guidance & Earnings Revisions

A few interesting charts from Merrill looking at revisions:   Click to enlarge: ˜˜˜ ˜˜˜ Source: BofA Earnings Season Update 1Q12 Earnings Wrap-up 29 May 2012

Category: Analysts, Data Analysis, Earnings

In Retrospect, It Was No Joke

Rosenberg, exactly 5 years ago today in May 2007: > click for full report > Invictus here. In my Barron’s Big Money post, I mentioned attending a small dinner in October 2007 at which David Rosenberg was the speaker. In comments, Hamann asked if I could provide any additional insight into what he had shared…Read More

Category: Analysts, Data Analysis, Economy, Real Estate, Research

Click to enlarge: The Wall Street Journal – Stock Funds Shunned Despite Broad Inflows Long-term mutual funds had estimated net inflows of $6.48 billion in the latest week as investors added money to hybrid, bond and foreign equities, while domestic equity funds saw the sharpest outflow so far this year, according to the Investment Company…Read More

Category: Analysts, Bailouts, Think Tank

Why Using P/E Ratios Can Be Misleading

Société Générale’s Andrew Lapthorne lays out the danger of relying on P/E ratios. “The essential message is that although one is of course simply the inverse of the other, using P/E ratio instead of earnings yields can give dramatically different results when making historical valuation comparisons. This disparity between average P/E and average E/P is…Read More

Category: Analysts, Data Analysis, Earnings