Merrill Lynch to cap the number of 'buy' ratings |
| BusinessWeek - May 15, 2008 |
Merrill Lynch & Co. is planning a new rating system for stocks that will require its analysts to assign at least one in five stocks that they follow with an "underperform" rating.
The Wall Street firm said Wednesday its new equity ratings system will limit analysts to issuing "buy" ratings on up to 70 percent of the stocks they evaluate. Merrill said codifying its ratings calls will make them better reflect how stocks historically perform.
The quality of analyst ratings across Wall Street was sharply criticized at the start of the decade after the dotcom bust. Disillusioned and, at times litigious, shareholders accused some analysts of using inflated ratings to pump up stock prices.
Read Full Article from BusinessWeek
- Posted: 2008-05-15 08:57:55
| More Stock Investor Place Financial News |
 |
|
|
|
| Stock Investor Place Financial News Archive |
|
|
|
