Finding similarities between top-rated analysts stock picks: a network analysis

📊 Investing
1

I used TipRanks top 25 analysts stock picks combined with Wallet Investor to find patterns for top stocks being picked using social network analysis. Data was taken today (19/07/2020). Each circle is a stock pick and lines connect them to the analyst, larger circles contain more inbound connections. Groups are clustered based on similarities between analysts. Groups are labelled ‘G1’ i.e., group 1.

Interestingly, Wallet Investor (https://walletinvestor.com/) had the highest overlap with other analysts - and I believe it only uses technical analysis.

Here are the results with labels for all stocks:
image

Here are the results with only the top 10 stocks:
image

The analysis found that among the picks the most popular consisted of:

  1. Amazon.com Inc
  2. Salesforce
  3. Coupa Software
  4. Netflix
  5. ZoomInfo Technologies
  6. Nvidia
  7. Apple
  8. Microsoft
  9. Shopify
  10. Marvell
  11. Alphabet

Interesting that almost all are from the information technology sector.

1 Like
2

2, 3, 9 and 10 aren’t the first I would think of but 2 and 9 aren’t really a surprise to me for a popularity contest.

1 Like