Most people think being ignored or unpopular is a bad thing. But when it comes to stocks, it’s a blessing in disguise. There are about 63,000 publicly-traded companies in the world, according to data from Bloomberg. Of these 63,000, about 15,000 are based in the United States, with about 5,000 being traded on public exchanges and the other 10,000 traded in various over-the-counter (OTC) markets.#-ad_banner-# But while many large, well-known companies such as Apple Inc. (Nasdaq: AAPL), Google (Nasdaq: GOOG) and Amazon (Nasdaq: AMZN) have more than 30 analysts providing coverage, the majority of… Read More
Most people think being ignored or unpopular is a bad thing. But when it comes to stocks, it’s a blessing in disguise. There are about 63,000 publicly-traded companies in the world, according to data from Bloomberg. Of these 63,000, about 15,000 are based in the United States, with about 5,000 being traded on public exchanges and the other 10,000 traded in various over-the-counter (OTC) markets.#-ad_banner-# But while many large, well-known companies such as Apple Inc. (Nasdaq: AAPL), Google (Nasdaq: GOOG) and Amazon (Nasdaq: AMZN) have more than 30 analysts providing coverage, the majority of public companies are being almost totally ignored by the analyst community, with little to no coverage at all. And like I said before, that’s a good thing for investors. That’s because stocks with high analyst coverage have usually already cycled through the early stages of rapid growth that produce big gains for early investors. These high levels of growth and big gains frequently trigger more interest from investors, which in turn make it much more profitable for investment research companies to create and sell research reports in high demand. On the institutional side, stocks… Read More