The table belows compare the current price (1-1-2021) of the stocks in my watch list with the average of the 1 year price target set by analysts.
We have to look at the 1 year target with caution. In most cases, the analyst put up their target a few months ago and did not update the target based on information that is available subsequently. These target are outdated for stocks that have volatile prices.
Nevertheless, I find the comparison to be useful as an indication of the value of the stock.
Some of the hot stocks have significantly grown above the target price of the analysts. Some of the poor performing stocks have fallen significantly below the target prices.
I have computed the ratio of the current price to the target price. It suggest the appreciation or depreciation that may occur when the stock prices move to the target.
I am now holding several stocks that are considerably below the target prices. I expect (or rather hope) that some of these stocks will move towards the target price in a year or two.
Where the current price is considerably higher than the target price, I am likely to reduce my exposure or sell the stocks entirely.
1 comment:
If your family expenses are 5K monthly, you have paid them $350 in GST which in turn works out to $ 4200 a year. Tio boh?
Post a Comment