Thursday, October 15, 2009
Rich Smith :: Townhall.com Columnist
This Just In: Upgrades and Downgrades
by Rich Smith
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At The Motley Fool, we poke plenty of fun at Wall Street analysts and their endless cycle of upgrades, downgrades, and "initiating coverage at neutral." So you might think we'd be the last people to give virtual ink to such "news." And we would be -- if that were all we were doing.

But in "This Just In," we don't simply tell you what the analysts said. We'll also show you whether they know what they're talking about. To help, we've enlisted Motley Fool CAPS, our tool for rating stocks and analysts alike. With CAPS, we track the long-term performance of Wall Street's best and brightest -- and its worst and sorriest, too.

What's that sound?
The bullish beat on Accenture (NYSE: ACN) continues to grow louder. Last week, we took a look at how the company's faring after hitting its 52-week high, and whether Goldman Sachs was right to upgrade the stock at that point. ( It was.) Now we learn that yet another analyst is hopping aboard the Accenture train, with All-Star analyst Janney Montgomery Scottinitiating coverage at "buy" this week.

Janney's bullish beat should sound familiar:

And yet, with Accenture's profits on the wane, Fools may well wonder whether Janney's timing is off on this one. Is now really the time to buy into Accenture, or should we wait until conditions improve a bit first?

Eat, drink, and be Janney
Judging from the analyst's record, I'd be inclined to follow Janney's advice on this one. While it's true that Janney's most successful recommendations tend to hail from the food and entertainment industries ...

Stock

Janney Says

CAPS Says

Janney's Picks Beating S&P by

Green Mountain Coffee (Nasdaq: GMCR)

Outperform

***

252 points

Marvel Entertainment (NYSE: MVL)

Outperform

****

65 points

Netflix (Nasdaq: NFLX)

Underperform

**

16 points

... this banker is no slouch when it comes to picking IT shops either:

Stock

Janney Says

CAPS Says

Janney's Picks Beating S&P by

Wright Express Continued...

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About The Author

Rich Smith is a business writer with the Motley Fool.

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