Does anyone have any stories to share about absolute garbage analysis from the brokerage houses lately?
Many of them are still trying to justify price targets they set before the correction. They are having difficulty with basic reasoning.
For example, see if you can check out Comsec's analysis of JST Group and the takeover offer (I can't paste it for copyright).
Basically, they have a valuation of $4.75.......they then go on to say how the takeover bid is opportunistic and undervalues JST substantially......and advise not to accept the bid which they price around $4.05 to $4.50....they then show data which inicates that the bid is more valuable, the more shares Premier acquires
They then say that its unlikely in the current environment that the JST share price will go up.........so they recommend shareholders "Reduce" on market anywhere over $4........this is a company under a takeover offer about to pay a fat dividend
So much for long term investing based on fundamentals.....