Article

China Accounting and Finance Review

, 16:3

First online:

Open Access This content is freely available online to anyone, anywhere at any time.

分析师评级及其变更的投资价值

  • Erjia YangAffiliated withSchool of Economics, Fudan University
  • , Lu LiAffiliated withChina Financial Futures Exchange Email author 
  • , Yunsen ChenAffiliated withSchool of Accountancy, Central University of Finance and Economics

Analysts’ Recommendation Revisions and Investment Value

Abstract

Using a sample of Chinese analysts’ recommendations from 2005 to 2010, we find the following results: first, on average, the recommendations of Chinese security analysts have investment value; second, buy recommendations from star analysts have more investment value than those of non-star analysts. These results suggest that analysts do have some expertise. This research makes several contributions to the field: first, it can assist the more efficient allocation of economic resources; second, it investigates Chinese analysts’ expertise; third, it can help investors to select valuable recommendations to form portfolios; and fourth, it can help brokerage houses to evaluate the output of research departments.

Keywords:

Security Recommendation Recommendation Revision Investment Value