DISCLAIMER:  THIS IS AN OP-ED PIECE WRITTEN AND RESEARCHED BY ME AND THE OPINION IS MY OWN AND I WAS PAID ZERO FROM ANY PARTIES FOR THE WRITING AND PUBLISHING OF MY ARTICLE.  

Free Research is offered everywhere, on discount stock market trading platforms and all over the internet.  Know your source.  Let me share with you what my research today showed.  On various discount brokers websites, they offer compiled free research which we as investors usually automatically assume is very accurate and very detailed.  I looked at an overall detailed breakdown today on some of these categories for a stock, penny stock, under $6.00 a share.  The ratings offered included Analyst Ratings,  Investors Sentiment,  Blogger, Insider Trading and more.

A look at the “detailed information” on the Analyst Ratings showed the rating of only one analyst which was ranked at 7,854 out of 7,987 analysts from a ranking website. .

INSIDER TRADING – there was no data available, I assume meaning there was no insider trading.

Let’s look at the “Investor’s Sentiment” and I saw this data was collected from the 569,269 Portfolio holdings of subscribers from a website that provides ranking  and showed that the portfolio holdings of just 4.1% of subscribers had purchased a stock I’ve been tracking.  Of the 4.1% who had owned the stock, 0.6% of those investors had sold in the last 7 days.  The data also showed that in the last 30 days, 2.0% had sold.  The data also showed the age group of the portfolio holders.  This data was used to establish the rating of VERY NEGATIVE for Investor Sentiment.  My assessment is because the quantity of investors even holding the stock is so low it is very difficult to give this stock a rating and I would beg to differ that the rating would be VERY NEGATIVE.

For the Blogger category the opinion was based upon one blogger.

Some good news is for the Technicals and the Fundamentals, the data seemed less subjective.

Lets look at those.

TECHNICALS 82.21% Momentum 12 month change Positive Rating but no detailed info was offered and I will be researching the company website for that data.

FUNDAMENTALS Return on Equity -35.16 Asset Growth -4.83% 12 month change, no detailed information available.

In essence, looking at Analyst Ratings, Investor’s Sentiment and Blogger and Insider Trading, we would assume this stock is a real DOG.  In looking at Technicals we see this stock is a real winner.  So what do we do? To be a savvy investor we need to know who the analyst are and how are they ranked as far as their performance over time.  For investor sentiment it is a bit trickier.  Blogger we need to see that there is a good amount of bloggers instead of just one to get a snapshot of how bloggers as a whole see a stock.  On insider trading, if there is no data then that does not correlate into a rating.  Next week, I will do the same research on a large cap stock so we can see how it correlates to this penny stock under $6.