stockbroker classifications?

If a share is classed as "overweight" by an analyst is that good? Similarly
"underweight" Any links which explain these classifications clearly.. Thanks
for any comments.

Re: stockbroker classifications?

Bitstring <>, from the wonderful person
Neil <> said
>If a share is classed as "overweight" by an analyst is that good? Similarly
>"underweight" Any links which explain these classifications clearly.. Thanks
>for any comments.

Those are not classifications, they are statements of position taken.
I.e. if a fund or broker says they are 'overweight' in Vodaphone it
means they are holding more than the proportion you would expect based
on market size weightings (i.e. the amount Vodaphone comprises of the
FTSE All Share, or whatever). Similarly if they are overweight in Banks,
or whatever.

As to whether it is good or bad, depends on how good the broker/fund
manager is as picking winners. The could also be overweight because the
share just doubled on them (but what happens next is not determined by
what just happened previously).

--
GSV Three Minds in a Can
Google may be your friend, but groups.google.com posters definitely aren't.

Re: stockbroker classifications?

"Neil" <> wrote in message
news:
> If a share is classed as "overweight" by an analyst is that good?
> Similarly "underweight" Any links which explain these classifications
> clearly.. Thanks for any comments.

Neil,

Overweight is the recommendation by the analyst to overweight the particular
stock in your portfolio. In other words, buy the stock. Furthermore, don't
just look at one analyst as many, as the disclosures state, are actually
advisors to the company per se.

Joe