When it comes to looking for stock market investment ideas, broker recommendations can be a useful place to start. These city experts tend to know the companies they cover inside-out, so their views can be valuable. They’re even more valuable when you take into account the overall view of all the analysts that cover a stock.
Take Housing Development Finance (NSI:HDFC) as an example. Shares in the company have risen by 3.20% over the past month and they are currently trading at ₹2,250. But what do the analysts that cover the company think?
Based on the broker ‘consensus’, there could be reasons to believe that the positive recent trend will continue. In terms of trading recommendations, Housing Development Finance currently has:
- 17 Buy recommendations
- 0 Hold recommendations
- 0 Sell recommendations
This suggests that analysts are generally upbeat about the outlook.
While analyst forecasts can be a useful guide to what City ‘experts’ think about a stock’s near term future, they can be unreliable. To get a better idea about the strengths and weaknesses of Housing Development Finance it’s worth doing some investigation yourself. Indeed, we’ve identified some areas of concern with Housing Development Finance that you can find out about here.
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