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   What are Bold Estimates by 5-star analysts?
 
   A Bold Estimate on a stock is one that deviates significantly from the mean. By definition, 5-star analysts have deviated from the mean in the past and have also been significantly more accurate than other analysts. StarMine's research shows that our analyst ratings are highly predictive of future analyst performance. That is, analysts who have scored highly in the past are likely to be high scoring in the future.

When a 5-star analyst sticks his or her neck out with a bold estimate, it often signals a major opportunity on the stock. Often, 5-star analysts are the first to revise their estimates. If other analysts follow, the mean will move toward the 5-star analyst's estimate, and the stock price will often respond accordingly. In short, investors should pay attention to Bold Estimates by 5-star analysts. For an example of a Bold Estimate, see Example of an analyst winning 5 stars.

See also:
How does StarMine measure analysts on estimate accuracy?


See glossary for: Mean


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