Editor’s note: TipRanks is a tech company that ranks analysts and financial bloggers based on their recommendations performance.
Which analysts are worth listening to and which are not?
That’s the simple question many investors ask and a tech start-up believes it has the answers.
Below is the list of the top 10 best performing Wall Street analysts as measured by TipRanks. These analysts consistently generated positive returns with their stock ratings and outperformed the markets since January 2009.
The rankings are based on the following factors:
- The average return of every recommendation given by an analyst in the year following the rating. If an analyst says “buy” Apple, the return of the call is measured in the following year.
- The success rate of the analyst or how many of the analyst’s buy/sell recommendations generated positive returns in the following year.
- The significance of the data or how many ratings each analyst has. More ratings provide higher significance; therefore the analyst is more likely to be ranked very high or very low.
Based on more than 400,000 ratings that were measured since January 2009, the 10 best performing analysts are:
10. Justin Lake, JPMorgan
Covers health-care companies such as Humana, UnitedHealth and Cigna. Lake has a 28 percent average return on his buy/sell ratings. Out of his 73 total ratings, 63 generated positive returns, giving him an 89 percent success rate.
9. Youssef Squali, Cantor Fitzgerald
Covers technology companies such as Facebook, Yahoo and Netflix. Squali has an 18.2 percent average return on all his buy/sell ratings. Out of his 295 total ratings, 186 generated positive returns, giving him a 63 percent success rate.
8. Glenn Greene, Oppenheimer
Covers technology and industrial companies including Visa, MasterCard and Global Payments. Greene’s average return of all his buy/sell ratings is 23 percent. Out of his 120 ratings, 97 generated a positive return, resulting in an 81 percent success rate.