Zacks Investment Research vs Morningstar

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teacher
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Zacks Investment Research vs Morningstar

Post by teacher » Mon Jan 08, 2018 11:34 am

Hopefully, this isn't a stupid question. After reading this article that encourages skipping (VGHAX) for other health care sector funds (not mentioned), I doubt the veracity of "Zacks Investment Research", because Moringstar states, "Vanguard Health Care continues to shine as one of the industry's best healthcare sector funds". I always considered Morningstar the gold-standard independent investment research provider.
https://finance.yahoo.com/news/vanguard ... 02250.html

My question: Is Zacks reputable? If so, why would their advise be counter to Moringstar's advise? If not, what is their agenda?

garlandwhizzer
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Re: Zacks Investment Research vs Morningstar

Post by garlandwhizzer » Mon Jan 08, 2018 11:47 am

I believe most "investment research" is unreliable. The fact that Zack's and Morningstar have differing opinions on the same fund should tell you something. "Nobody knows nothing" is a rational default position when it comes to investment advice. The market regularly humbles even the best analyst's predictions. Personally, I am not a fan of sector funds in general and I don't believe anyone knows reliably and consistently whether the Health Care Sector will outperform, underperform or market perform going forward at any given point in time.

Garland Whizzer

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jhfenton
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Re: Zacks Investment Research vs Morningstar

Post by jhfenton » Mon Jan 08, 2018 1:44 pm

Zack's research always seems to be about the hot fund and hot sectors. Their research is worse than useless.

M* may offer their opinions on "fair value" for stocks and sectors, but their fund analysis is based on cost, strategy, fund family, etc., longer term factors than what is hot at the moment.

And most of what you get from M* that is valuable is just data.

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teacher
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Re: Zacks Investment Research vs Morningstar

Post by teacher » Mon Jan 08, 2018 1:47 pm

Thank you. I was introduced to M* on this board and use it to get background data on our funds. We are staying the course, but we all have biases we like confirmed. :happy

Tanelorn
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Re: Zacks Investment Research vs Morningstar

Post by Tanelorn » Mon Jan 08, 2018 2:58 pm

jhfenton wrote:
Mon Jan 08, 2018 1:44 pm
[Zacks] research is worse than useless.
Agreed. This sums it up pretty well:

https://mobile.twitter.com/BagholderQuo ... 9648677888

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