From Ticker Sense
Whether you like to follow the herd or go against the grain, the following lists should be useful to you. The first one summarizes the most popular S&P 1500 groups based on the ratings of Wall St. analysts, while the second list highlights the groups that analysts are most negative on. Groups are sorted based on the net percentage of buy recommendations (gross buys minus gross sells) for the stocks in each group.
The right most column in each chart shows the stock in each particular group that analysts are the most bullish (highest rated) or bearish (lowest rated) on. For example, in Construction Materials, which is the most popular group in the S&P 1500, analysts are most bullish on VMC. In the list of lowest rated groups, real estate is the least favorite, and within that group analysts are the most bearish on IRC.
Which strategy will work best? Buying the groups and stocks which analysts are the most bullish on (following the herd) or buying the groups and stocks which analysts are the most bearish on (against the grain)? Only time will tell, and a month from now we will calculate the results.
