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The Thomson Reuters Analyst Awards

The gold standard in sell-side analyst performance

Methodology

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United States

2017

2017 THOMSON REUTERS ANALYST AWARDS

METHODOLOGY FOR THE UNITED STATES

Based on StarMine methodology, the Thomson Reuters Analyst Awards objectively measure the performance of analysts based on the returns of their buy/sell recommendations and the accuracy of their earnings estimates. The 2017 stock picking awards for the United States are based on the 2016 calendar-year performance of recommendations. The 2017 awards for estimating accuracy are based on quarterly periods that reported between 01 April 2016 and 31 March 2017. Only analyst performance on companies that are based in the United States is included in the awards calculations.

DATA SOURCE

The Analyst Awards for the United States are based on StarMine’s estimates and recommendations as recorded in the Thomson Reuters I/B/E/S database. The Analyst Awards use the GICS (Global Industry Classification System) for its industry definitions.

INDUSTRY STOCK PICKING AWARDS

Analysts are ranked according to their Industry Excess Return, computed from a portfolio simulation that measures each analyst relative to an industry-based benchmark.

Calculation of Industry Excess Return: All analyst returns are calculated relative to the return on a market capitalization-weighted portfolio of all of the stocks in a given industry.

For comparison purposes, the Analyst Awards build a non-leveraged portfolio for each analyst based on his recommendations. For each "Buy" recommendation, the portfolio is one unit long the stock and simultaneously one unit short the benchmark. The result gives the analyst credit for the amount by which the stock outperformed the benchmark. "Strong Buys" get a larger investment of two units long the stock and two units short the benchmark. "Holds" invest one unit in the benchmark (i.e., for an excess return of zero). "Sells" are the reverse: long the benchmark and short the stock. "Strong Sells" get a larger investment of two units long the benchmark and short the stock. The portfolio return is opportunity adjusted to facilitate a fair comparison of analyst performance regardless of their coverage universe.

The resulting portfolio is rebalanced each month and whenever the analyst adds coverage, drops coverage, or changes a rating.

Qualification Criteria: To qualify for a Industry Stock Picking Award, an analyst must have met the following criteria:

  • (1) An analyst must have covered at least five stocks in a given industry throughout the awards period. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.
  • (2) An analyst's industry return must have exceeded the return of the relevant industry benchmark. That is, his Industry Excess Return must be positive.
  • (3) An analyst must have delivered at least a 3-star performance on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

OVERALL STOCK PICKING AWARDS

Overall Stock Picking Awards go to the top ten qualifying analysts, based on overall excess return. To calculate overall excess return, the Analyst Awards use the weighted average of each analyst's Industry Excess Returns, where weighting is based on the number of stocks the analyst covers in each industry.

Qualification Criteria: To qualify for the overall stock-picking awards, analysts must have covered at least five stocks. In addition, the Analyst Awards require analysts to have earned at least a 5-starrating on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

OVERVIEW OF EARNINGS ESTIMATE AWARDS

The Analyst Awards’ proprietary metric, Single-stock Estimate Score (SES), measures the accuracy of each analyst's earnings forecasts. SES is a measure of relative accuracy; that is, analysts are compared against their peers. An analyst's SES can range from 0 to 100, with 50 representing the average analyst. To get a score higher than 50, an analyst must make estimates that are both significantly different from and more accurate than other analysts' estimates.

SES takes into account many factors: the analyst's absolute forecast error, the analyst's error compared to other analysts, the variance of the analysts' errors, the timing of the estimates, and the absolute value of the actual earnings for the stock. SES is computed daily and aggregated to provide scores on individual stocks, industries (the Industry Estimate Score), and the analyst overall (the Overall Estimate Score).

INDUSTRY EARNINGS ESTIMATE AWARDS

To determine the winners of Industry Earnings Estimate Awards, the Analyst Awards rank qualifying analysts based on their Industry Estimate Score for the stocks in a specific industry.

Qualification Criteria: To qualify for this ranking, an analyst must have had coverage on at least five stocks throughout the awards period. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.

OVERALL EARNINGS ESTIMATE AWARDS

The ten qualifying analysts with the highest Overall Estimate Scores earn the Analyst Awards Overall Earnings Estimate Awards.

Qualification Criteria: To qualify for the Analyst Awards’ Top 10 list, an analyst must have had coverage on at least five stocks throughout the awards period.

TOP BROKER AWARDS

Awards go to the three brokerage firms that have accumulated the greatest number of individual analyst awards in each of the three regions. If an analyst has changed firms during an awards year, performance is attributed to the firm where the analyst worked for the majority of the year.

NON-PARTICIPATING BROKERS

The following brokers did not participate in this year's awards for the United States: Buckingham Research, Exane BNP Paribas and Sidoti.

2016

2016 THOMSON REUTERS ANALYST AWARDS

METHODOLOGY FOR THE UNITED STATES

Based on StarMine methodology, the Thomson Reuters Analyst Awards objectively measure the performance of analysts based on the returns of their buy/sell recommendations and the accuracy of their earnings estimates. The 2016 stock picking awards for the United States are based on the 2015 calendar-year performance of recommendations. The 2016 awards for estimating accuracy are based on quarterly periods that reported between 01 April 2015 and 31 March 2016. (For most companies, this is FQ-Mar-2015, FQ-Jun-2015, FQ-Sep-2015 and FQ-Dec-2015.) Only analyst performance on companies that are based in the United States is included in the awards calculations.

DATA SOURCE

The Analyst Awards for the United States are based on StarMine’s estimates and recommendations as recorded in the Thomson Reuters I/B/E/S database. The Analyst Awards use the GICS (Global Industry Classification System) for its industry definitions.

INDUSTRY STOCK PICKING AWARDS

Analysts are ranked according to their Industry Excess Return, computed from a portfolio simulation that measures each analyst relative to an industry-based benchmark. The top three qualifying analysts in each industry receive an award.

Calculation of Industry Excess Return: All analyst returns are calculated relative to the return on a market capitalization-weighted portfolio of all of the stocks in a given industry.

For comparison purposes, the Analyst Awards build a non-leveraged portfolio for each analyst based on his recommendations. For each "Buy" recommendation, the portfolio is one unit long the stock and simultaneously one unit short the benchmark. The result gives the analyst credit for the amount by which the stock outperformed the benchmark. "Strong Buys" get a larger investment of two units long the stock and two units short the benchmark. "Holds" invest one unit in the benchmark (i.e., for an excess return of zero). "Sells" are the reverse: long the benchmark and short the stock. "Strong Sells" get a larger investment of two units long the benchmark and short the stock. The portfolio return is opportunity adjusted to facilitate a fair comparison of analyst performance regardless of their coverage universe.

The resulting portfolio is rebalanced each month and whenever the analyst adds coverage, drops coverage, or changes a rating.

Qualification Criteria: To qualify for a 2016 Industry Stock Picking Award, an analyst must have met the following criteria:

  • (1) An analyst must have covered at least five stocks in a given industry throughout 2015. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.
  • (2) An analyst's industry return must have exceeded the return of the relevant industry benchmark. That is, his Industry Excess Return must be positive.
  • (3) An analyst must have delivered at least a 3-star performance on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

OVERALL STOCK PICKING AWARDS

Overall Stock Picking Awards go to the top ten qualifying analysts, based on overall excess return. To calculate overall excess return, the Analyst Awards use the weighted average of each analyst's Industry Excess Returns, where weighting is based on the number of stocks the analyst covers in each industry.

Qualification Criteria: To qualify for the overall stock-picking awards, analysts must have covered at least five stocks. In addition, the Analyst Awards require analysts to have earned at least a 5-starrating on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

OVERVIEW OF EARNINGS ESTIMATE AWARDS

The Analyst Awards’ proprietary metric, Single-stock Estimate Score (SES), measures the accuracy of each analyst's earnings forecasts. SES is a measure of relative accuracy; that is, analysts are compared against their peers. An analyst's SES can range from 0 to 100, with 50 representing the average analyst. To get a score higher than 50, an analyst must make estimates that are both significantly different from and more accurate than other analysts' estimates.

SES takes into account many factors: the analyst's absolute forecast error, the analyst's error compared to other analysts, the variance of the analysts' errors, the timing of the estimates, and the absolute value of the actual earnings for the stock. SES is computed daily and aggregated to provide scores on individual stocks, industries (the Industry Estimate Score), and the analyst overall (the Overall Estimate Score).

INDUSTRY EARNINGS ESTIMATE AWARDS

To determine the winners of Industry Earnings Estimate Awards, the Analyst Awards rank qualifying analysts based on their Industry Estimate Score for the stocks in a specific industry.

Qualification Criteria: To qualify for this ranking, an analyst must have had coverage on at least five stocks throughout 2014. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.

OVERALL EARNINGS ESTIMATE AWARDS

The ten qualifying analysts with the highest Overall Estimate Scores earn the Analyst Awards Overall Earnings Estimate Awards.

Qualification Criteria: To qualify for the Analyst Awards’ Top 10 list, an analyst must have had coverage on at least five stocks throughout 2015.

TOP BROKER AWARDS

Brokerage firms can win an award in any of two categories:

Top Three Brokerage Firms: Awards go to the three brokerage firms that have accumulated the greatest number of individual analyst awards in each of the three regions. If an analyst has changed firms during an awards year, performance is attributed to the firm where the analyst worked for the majority of the year.

NON-PARTICIPATING BROKERS

The following brokers did not participate in the 2016 THOMSON REUTERS ANALYST AWARDS for the United States: Buckingham Research, Exane BNP Paribas and Sidoti.

2015

2015 STARMINE ANALYST AWARDS*
METHODOLOGY FOR THE UNITED STATES
*(based on 2014 results)

StarMine objectively measures the performance of analysts based on the returns of their buy/sell recommendations and the accuracy of their earnings estimates. The 2015 stock picking awards for the United States are based on the 2014 calendar-year performance of recommendations. The 2015 awards for estimating accuracy are based on quarterly periods that reported between 01 April 2014 and 31 March 2015. (For most companies, this is FQ-Mar-2014, FQ-Jun-2014, FQ-Sep-2014 and FQ-Dec-2014.) Only analyst performance on companies that are based in the United States is included in the awards calculations.

DATA SOURCE
StarMine’s awards for the United States are based on the estimates and recommendations as recorded in the Thomson Financial I/B/E/S database. StarMine uses the GICS (Global Industry Classification System) for its industry definitions. 

INDUSTRY STOCK PICKING AWARDS
Analysts are ranked according to their Industry Excess Return, computed from a portfolio simulation that measures each analyst relative to an industry-based benchmark. The top three qualifying analysts in each industry receive an award.

Calculation of Industry Excess Return: All analyst returns are calculated relative to the return on a market capitalization-weighted portfolio of all of the stocks in a given industry.

For comparison purposes, StarMine builds a non-leveraged portfolio for each analyst based on his recommendations. For each “Buy” recommendation, the portfolio is one unit long the stock and simultaneously one unit short the benchmark. The result gives the analyst credit for the amount by which the stock outperformed the benchmark. “Strong Buys” get a larger investment of two units long the stock and two units short the benchmark. “Holds” invest one unit in the benchmark (i.e., for an excess return of zero). “Sells” are the reverse: long the benchmark and short the stock. “Strong Sells” get a larger investment of two units long the benchmark and short the stock. The portfolio return is opportunity adjusted to facilitate a fair comparison of analyst performance regardless of their coverage universe.

The resulting portfolio is rebalanced each month and whenever the analyst adds coverage, drops coverage, or changes a rating.

Qualification Criteria: To qualify for a 2015 Industry Stock Picking Award, an analyst must have met the following criteria:

  1. An analyst must have covered at least five stocks in a given industry throughout 2014. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.
  2. An analyst’s industry return must have exceeded the return of the relevant industry benchmark. That is, his Industry Excess Return must be positive.
  3. An analyst must have delivered at least a 3-star performance on their overall coverage (i.e., for all industries covered), as measured by StarMine’s Coverage-Relative Rating.

OVERALL STOCK PICKING AWARDS
Overall Stock Picking Awards go to the top ten qualifying analysts, based on overall excess return. To calculate overall excess return, StarMine uses the weighted average of each analyst’s Industry Excess Returns, where weighting is based on the number of stocks the analyst covers in each industry.

Qualification Criteria: To qualify for the overall stock-picking awards, analysts must have covered at least five stocks. In addition, StarMine requires analysts to have earned at least a 5-star rating on their overall coverage (i.e., for all industries covered), as measured by StarMine’s Coverage-Relative Rating.

OVERVIEW OF EARNINGS ESTIMATE AWARDS
StarMine's proprietary metric, Single-stock Estimate Score (SES), measures the accuracy of each analyst's earnings forecasts. SES is a measure of relative accuracy; that is, analysts are compared against their peers. An analyst’s SES can range from 0 to 100, with 50 representing the average analyst. To get a score higher than 50, an analyst must make estimates that are both significantly different from and more accurate than other analysts' estimates.

SES takes into account many factors: the analyst's absolute forecast error, the analyst's error compared to other analysts, the variance of the analysts' errors, the timing of the estimates, and the absolute value of the actual earnings for the stock. SES is computed daily and aggregated to provide scores on individual stocks, industries (the Industry Estimate Score), and the analyst overall (the Overall Estimate Score).

INDUSTRY EARNINGS ESTIMATE AWARDS
To determine the winners of Industry Earnings Estimate Awards, StarMine ranks qualifying analysts based on their Industry Estimate Score for the stocks in a specific industry.

Qualification Criteria: To qualify for this ranking, an analyst must have had coverage on at least five stocks throughout 2014. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.

OVERALL EARNINGS ESTIMATE AWARDS
The ten qualifying analysts with the highest Overall Estimate Scores earn StarMine’s Overall Earnings Estimate Awards.

Qualification Criteria: To qualify for StarMine's Top 10 list, an analyst must have had coverage on at least five stocks throughout 2014.

TOP BROKER AWARDS
Brokerage firms can win an award in any of two categories:

Top Three Brokerage Firms: Awards go to the three brokerage firms that have accumulated the greatest number of individual analyst awards in each of the three regions. If an analyst has changed firms during an awards year, performance is attributed to the firm where the analyst worked for the majority of the year.

NON-PARTICIPATING BROKERS
The following brokers did not participate in the 2015 StarMine Analyst Awards for the United States: Buckingham Research, Exane BNP Paribas and Sidoti.

2014

2014 STARMINE ANALYST AWARDS*
METHODOLOGY FOR THE UNITED STATES

*(based on 2013 results)

StarMine objectively measures the performance of analysts based on the returns of their buy/sell recommendations and the accuracy of their earnings estimates. The 2014 stock picking awards for the United States are based on the 2013 calendar-year performance of recommendations. The 2014 awards for estimating accuracy are based on quarterly periods that reported between 01 April 2013 and 31 March 2014. (For most companies, this is FQ-Mar-2013, FQ-Jun-2013, FQ-Sep-2013 and FQ-Dec-2013.) Only analyst performance on companies that are based in the United States is included in the awards calculations.

DATA SOURCE
StarMine’s awards for the United States are based on the estimates and recommendations as recorded in the Thomson Financial I/B/E/S database. StarMine uses the GICS (Global Industry Classification System) for its industry definitions.

INDUSTRY STOCK PICKING AWARDS
Analysts are ranked according to their Industry Excess Return, computed from a portfolio simulation that measures each analyst relative to an industry-based benchmark. The top three qualifying analysts in each industry receive an award.

Calculation of Industry Excess Return: All analyst returns are calculated relative to the return on a market capitalization-weighted portfolio of all of the stocks in a given industry.

For comparison purposes, StarMine builds a non-leveraged portfolio for each analyst based on his recommendations. For each “Buy” recommendation, the portfolio is one unit long the stock and simultaneously one unit short the benchmark. The result gives the analyst credit for the amount by which the stock outperformed the benchmark. “Strong Buys” get a larger investment of two units long the stock and two units short the benchmark. “Holds” invest one unit in the benchmark (i.e., for an excess return of zero). “Sells” are the reverse: long the benchmark and short the stock. “Strong Sells” get a larger investment of two units long the benchmark and short the stock. The portfolio return is opportunity adjusted to facilitate a fair comparison of analyst performance regardless of their coverage universe.

The resulting portfolio is rebalanced each month and whenever the analyst adds coverage, drops coverage, or changes a rating.

Qualification Criteria:To qualify for a 2014 Industry Stock Picking Award, an analyst must have met the following criteria:

(1) An analyst must have covered at least five stocks in a given industry throughout 2013. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.

(2) An analyst’s industry return must have exceeded the return of the relevant industry benchmark. That is, his Industry Excess Return must be positive.

(3) An analyst must have delivered at least a 3-star performance on their overall coverage (i.e., for all industries covered), as measured by StarMine’s Coverage-Relative Rating.

OVERALL STOCK PICKING AWARDS
Overall Stock Picking Awards go to the top ten qualifying analysts, based on overall excess return. To calculate overall excess return, StarMine uses the weighted average of each analyst’s Industry Excess Returns, where weighting is based on the number of stocks the analyst covers in each industry.

Qualification Criteria: To qualify for the overall stock-picking awards, analysts must have covered at least five stocks. In addition, StarMine requires analysts to have earned at least a 5-star rating on their overall coverage (i.e., for all industries covered), as measured by StarMine’s Coverage-Relative Rating.

OVERVIEW OF EARNINGS ESTIMATE AWARDS
StarMine's proprietary metric, Single-stock Estimate Score (SES), measures the accuracy of each analyst's earnings forecasts. SES is a measure of relative accuracy; that is, analysts are compared against their peers. An analyst’s SES can range from 0 to 100, with 50 representing the average analyst. To get a score higher than 50, an analyst must make estimates that are both significantly different from and more accurate than other analysts' estimates.

SES takes into account many factors: the analyst's absolute forecast error, the analyst's error compared to other analysts, the variance of the analysts' errors, the timing of the estimates, and the absolute value of the actual earnings for the stock. SES is computed daily and aggregated to provide scores on individual stocks, industries (the Industry Estimate Score), and the analyst overall (the Overall Estimate Score).

INDUSTRY EARNINGS ESTIMATE AWARDS
To determine the winners of Industry Earnings Estimate Awards, StarMine ranks qualifying analysts based on their Industry Estimate Score for the stocks in a specific industry.

Qualification Criteria: To qualify for this ranking, an analyst must have had coverage on at least five stocks throughout 2013. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.

OVERALL EARNINGS ESTIMATE AWARDS
The ten qualifying analysts with the highest Overall Estimate Scores earn StarMine’s Overall Earnings Estimate Awards.

Qualification Criteria: To qualify for StarMine's Top 10 list, an analyst must have had coverage on at least five stocks throughout 2013.

TOP BROKER AWARDS
Brokerage firms can win an award in any of two categories:

Top Three Brokerage Firms: Awards go to the three brokerage firms that have accumulated the greatest number of individual analyst awards in each of the three regions. If an analyst has changed firms during an awards year, performance is attributed to the firm where the analyst worked for the majority of the year.

Three Most Productive Brokers: Most Productive Broker awards go to the three firms that have earned the highest number of individual analyst awards relative to the total number of qualifying analysts in their firm. To be considered for this award, a firm must have a minimum of ten analysts who qualified for a 2014 StarMine Analyst Award.

NON-PARTICIPATING BROKERS
The following brokers did not participate in the 2014 StarMine Analyst Awards for the United States: Buckingham Research, Exane BNP Paribas and Sidoti.

Close

2013

2013 STARMINE ANALYST AWARDS*
METHODOLOGY FOR THE UNITED STATES

*(based on 2012 results)

StarMine objectively measures the performance of analysts based on the returns of their buy/sell recommendations and the accuracy of their earnings estimates. The 2013 stock picking awards for the United States are based on the 2012 calendar-year performance of recommendations. The 2013 awards for estimating accuracy are based on quarterly periods that reported between 01 April 2012 and 31 March 2013. (For most companies, this is FQ-Mar-2012, FQ-Jun-2012, FQ-Sep-2012 and FQ-Dec-2012.) Only analyst performance on companies that are based in the United States is included in the awards calculations.

DATA SOURCE
StarMine's awards for the United States are based on the estimates and recommendations as recorded in the Thomson Financial I/B/E/S database. StarMine uses the GICS (Global Industry Classification System) for its industry definitions.

INDUSTRY STOCK PICKING AWARDS
Analysts are ranked according to their Industry Excess Return, computed from a portfolio simulation that measures each analyst relative to an industry-based benchmark. The top three qualifying analysts in each industry receive an award.

Calculation of Industry Excess Return: All analyst returns are calculated relative to the return on a market capitalization-weighted portfolio of all of the stocks in a given industry.

For comparison purposes, StarMine builds a non-leveraged portfolio for each analyst based on his recommendations. For each "Buy" recommendation, the portfolio is one unit long the stock and simultaneously one unit short the benchmark. The result gives the analyst credit for the amount by which the stock outperformed the benchmark. "Strong Buys" get a larger investment of two units long the stock and two units short the benchmark. "Holds" invest one unit in the benchmark (i.e., for an excess return of zero). "Sells" are the reverse: long the benchmark and short the stock. "Strong Sells" get a larger investment of two units long the benchmark and short the stock. The portfolio return is opportunity adjusted to facilitate a fair comparison of analyst performance regardless of their coverage universe.

The resulting portfolio is rebalanced each month and whenever the analyst adds coverage, drops coverage, or changes a rating.

Qualification Criteria: To qualify for a 2013 Industry Stock Picking Award, an analyst must have met the following criteria:

(1) An analyst must have covered at least five stocks in a given industry throughout 2012. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.
(2) An analyst's industry return must have exceeded the return of the relevant industry benchmark. That is, his Industry Excess Return must be positive.
(3) An analyst must have delivered at least a 3-star performance on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

OVERALL STOCK PICKING AWARDS
Overall Stock Picking Awards go to the top ten qualifying analysts, based on overall excess return. To calculate overall excess return, StarMine uses the weighted average of each analyst's Industry Excess Returns, where weighting is based on the number of stocks the analyst covers in each industry.

Qualification Criteria: To qualify for the overall stock-picking awards, analysts must have covered at least five stocks. In addition, StarMine requires analysts to have earned at least a 5-star rating on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

OVERVIEW OF EARNINGS ESTIMATE AWARDS
StarMine's proprietary metric, Single-stock Estimate Score (SES), measures the accuracy of each analyst's earnings forecasts. SES is a measure of relative accuracy; that is, analysts are compared against their peers. An analyst's SES can range from 0 to 100, with 50 representing the average analyst. To get a score higher than 50, an analyst must make estimates that are both significantly different from and more accurate than other analysts' estimates.

SES takes into account many factors: the analyst's absolute forecast error, the analyst's error compared to other analysts, the variance of the analysts' errors, the timing of the estimates, and the absolute value of the actual earnings for the stock. SES is computed daily and aggregated to provide scores on individual stocks, industries (the Industry Estimate Score), and the analyst overall (the Overall Estimate Score).

INDUSTRY EARNINGS ESTIMATE AWARDS
To determine the winners of Industry Earnings Estimate Awards, StarMine ranks qualifying analysts based on their Industry Estimate Score for the stocks in a specific industry.

Qualification Criteria: To qualify for this ranking, an analyst must have had coverage on at least five stocks throughout 2012. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.

OVERALL EARNINGS ESTIMATE AWARDS
The ten qualifying analysts with the highest Overall Estimate Scores earn StarMine's Overall Earnings Estimate Awards.

Qualification Criteria: To qualify for StarMine's Top 10 list, an analyst must have had coverage on at least five stocks throughout 2012.

TOP BROKER AWARDS
Brokerage firms can win an award in any of three categories:

Top Three Brokerage Firms: Awards go to the three brokerage firms that have accumulated the greatest number of individual analyst awards in each of the three regions. If an analyst has changed firms during an awards year, performance is attributed to the firm where the analyst worked for the majority of the year.

Three Most Productive Brokers: Most Productive Broker awards go to the three firms that have earned the highest number of individual analyst awards relative to the total number of qualifying analysts in their firm. To be considered for this award, a firm must have a minimum of ten analysts who qualified for a 2013 FT | StarMine Analyst Award.

Top Global Broker:
The award for No.1 Global Broker for 2013 goes to the firm that had the best collective performance across the United States, Europe and Asia. Each firm's regional performance was normalized by dividing the firm's regional awards count by the number of awards won by the region's top broker. The regional scores for each broker were then totaled. The firm with the highest total score is the recipient of the No. 1 Global Broker Award.

NON-PARTICIPATING BROKERS
The following brokers did not participate in the 2013 StarMine Analyst Awards for the United States: Buckingham Research, Exane BNP Paribas and Sidoti.

Close

2012

 

2012 STARMINE ANALYST AWARDS*
METHODOLOGY FOR THE UNITED STATES
*(based on 2011 results)

StarMine objectively measures the performance of analysts based on the returns of their buy/sell recommendations and the accuracy of their earnings estimates. The 2012 stock picking awards for the United States are based on the 2011 calendar-year performance of recommendations. The 2012 awards for estimating accuracy are based on quarterly periods that reported between 01 April 2011 and 31 March 2012. (For most companies, this is FQ-Mar-2011, FQ-Jun-2011, FQ-Sep-2011 and FQ-Dec-2011.) Only analyst performance on companies that are based in the United States is included in the awards calculations.

DATA SOURCE
StarMine's awards for the United States are based on the estimates and recommendations as recorded in the Thomson Financial I/B/E/S database. StarMine uses the GICS (Global Industry Classification System) for its industry definitions.

INDUSTRY STOCK PICKING AWARDS
Analysts are ranked according to their Industry Excess Return, computed from a portfolio simulation that measures each analyst relative to an industry-based benchmark. The top three qualifying analysts in each industry receive an award.
Calculation of Industry Excess Return: All analyst returns are calculated relative to the return on a market capitalization-weighted portfolio of all of the stocks in a given industry.
For comparison purposes, StarMine builds a non-leveraged portfolio for each analyst based on his recommendations. For each "Buy" recommendation, the portfolio is one unit long the stock and simultaneously one unit short the benchmark. The result gives the analyst credit for the amount by which the stock outperformed the benchmark. "Strong Buys" get a larger investment of two units long the stock and two units short the benchmark. "Holds" invest one unit in the benchmark (i.e., for an excess return of zero). "Sells" are the reverse: long the benchmark and short the stock. "Strong Sells" get a larger investment of two units long the benchmark and short the stock. The portfolio return is opportunity adjusted to facilitate a fair comparison of analyst performance regardless of their coverage universe. The resulting portfolio is rebalanced each month and whenever the analyst adds coverage, drops coverage, or changes a rating.
Qualification Criteria:
To qualify for a 2012 Industry Stock Picking Award, an analyst must have met the following criteria:
(1) An analyst must have covered at least five stocks in a given industry throughout 2011. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater. (2) An analyst's industry return must have exceeded the return of the relevant industry benchmark. That is, his Industry Excess Return must be positive.
(3) An analyst must have delivered at least a 3-star performance on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

OVERALL STOCK PICKING AWARDS Overall Stock Picking Awards go to the top ten qualifying analysts, based on overall excess return. To calculate overall excess return, StarMine uses the weighted average of each analyst's Industry Excess Returns, where weighting is based on the number of stocks the analyst covers in each industry.
Qualification Criteria:
To qualify for the overall stock-picking awards, analysts must have covered at least five stocks. In addition, StarMine requires analysts to have earned at least a 5-star rating on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

OVERVIEW OF EARNINGS ESTIMATE AWARDS
StarMine's proprietary metric, Single-stock Estimate Score (SES), measures the accuracy of each analyst's earnings forecasts. SES is a measure of relative accuracy; that is, analysts are compared against their peers. An analyst's SES can range from 0 to 100, with 50 representing the average analyst. To get a score higher than 50, an analyst must make estimates that are both significantly different from and more accurate than other analysts' estimates. SES takes into account many factors: the analyst's absolute forecast error, the analyst's error compared to other analysts, the variance of the analysts' errors, the timing of the estimates, and the absolute value of the actual earnings for the stock. SES is computed daily and aggregated to provide scores on individual stocks, industries (the Industry Estimate Score), and the analyst overall (the Overall Estimate Score).

INDUSTRY EARNINGS ESTIMATE AWARDS
To determine the winners of Industry Earnings Estimate Awards, StarMine ranks qualifying analysts based on their Industry Estimate Score for the stocks in a specific industry.
Qualification Criteria:
To qualify for this ranking, an analyst must have had coverage on at least five stocks throughout 2011. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater. OVERALL EARNINGS ESTIMATE AWARDS The ten qualifying analysts with the highest Overall Estimate Scores earn StarMine's Overall Earnings Estimate Awards. Qualification Criteria: To qualify for StarMine's Top 10 list, an analyst must have had coverage on at least five stocks throughout 2011.

TOP BROKER AWARDS
Brokerage firms can win an award in any of three categories:

Top Three Brokerage Firms: Awards go to the three brokerage firms that have accumulated the greatest number of individual analyst awards in each of the three regions. If an analyst has changed firms during an awards year, performance is attributed to the firm where the analyst worked for the majority of the year.
Three Most Productive Brokers: Most Productive Broker awards go to the three firms that have earned the highest number of individual analyst awards relative to the total number of qualifying analysts in their firm. To be considered for this award, a firm must have a minimum of ten analysts who qualified for a 2012 FT | StarMine Analyst Award.
Top Global Broker: The award for No.1 Global Broker for 2012 goes to the firm that had the best collective performance across the United States, Europe and Asia. Each firm's regional performance was normalized by dividing the firm's regional awards count by the number of awards won by the region's top broker. The regional scores for each broker were then totaled. The firm with the highest total score is the recipient of the No. 1 Global Broker Award.

NON-PARTICIPATING BROKERS
The following brokers did not participate in the 2012 StarMine Analyst Awards for the United States: Buckingham Research, Exane BNP Paribas and Sidoti.

Close

2011

 

2011 STARMINE ANALYST AWARDS*
METHODOLOGY FOR THE UNITED STATES

*(based on 2010 results)

StarMine objectively measures the performance of analysts based on the returns of their buy/sell recommendations and the accuracy of their earnings estimates. The 2011 awards for the United States are based on the 2010 calendar-year performance of recommendations and estimates on companies that are based in the United States.

DATA SOURCE
StarMine's awards for the United States are based on the estimates and recommendations as recorded in the Thomson Reuters I/B/E/S database. StarMine uses the GICS (Global Industry Classification System) for its industry definitions.

INDUSTRY STOCK PICKING AWARDS
Analysts are ranked according to their Industry Excess Return, computed from a portfolio simulation that measures each analyst relative to an industry-based benchmark. The top three qualifying analysts in each industry receive an award.

Calculation of Industry Excess Return: All analyst returns are calculated relative to the return on a market capitalization-weighted portfolio of all of the stocks in a given industry.

For comparison purposes, StarMine builds a non-leveraged portfolio for each analyst based on his recommendations. For each "Buy" recommendation, the portfolio is one unit long the stock and simultaneously one unit short the benchmark. The result gives the analyst credit for the amount by which the stock outperformed the benchmark. "Strong Buys" get a larger investment of two units long the stock and two units short the benchmark. "Holds" invest one unit in the benchmark (i.e., for an excess return of zero). "Sells" are the reverse: long the benchmark and short the stock. "Strong Sells" get a larger investment of two units long the benchmark and short the stock. The portfolio return is opportunity adjusted to facilitate a fair comparison of analyst performance regardless of their coverage universe.

The resulting portfolio is rebalanced each month and whenever the analyst adds coverage, drops coverage, or changes a rating.

Qualification Criteria: To qualify for a 2011 Industry Stock Picking Award, an analyst must have met the following criteria:

  1. An analyst must have covered at least five stocks in a given industry throughout 2010. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.
  2. An analyst's industry return must have exceeded the return of the relevant industry benchmark. That is, his Industry Excess Return must be positive.
  3. An analyst must have delivered at least a 3-star performance on his overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

OVERALL STOCK PICKING AWARDS
Overall Stock Picking Awards go to the top ten qualifying analysts, based on overall excess return. To calculate overall excess return, StarMine uses the weighted average of each analyst's Industry Excess Returns, where weighting is based on the number of stocks the analyst covers in each industry.

Qualification Criteria: To qualify for the Overall Stock Picking awards, analysts must have covered at least five stocks. In addition, StarMine requires analysts to have earned at least a 5-star rating on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

OVERVIEW OF EARNINGS ESTIMATE AWARDS StarMine's proprietary metric, Single-stock Estimate Score (SES), measures the accuracy of each analyst's earnings forecasts. SES is a measure of relative accuracy; that is, analysts are compared against their peers. An analyst's SES can range from 0 to 100, with 50 representing the average analyst. To get a score higher than 50, an analyst must make estimates that are both significantly different from and more accurate than other analysts' estimates

SES takes into account many factors: the analyst's absolute forecast error, the analyst's error compared to other analysts, the variance of the analysts' errors, the timing of the estimates, and the absolute value of the actual earnings for the stock. SES is computed daily and aggregated to provide scores on individual stocks, industries (the Industry Estimate Score), and the analyst overall (the Overall Estimate Score).

INDUSTRY EARNINGS ESTIMATE AWARDS To determine the winners of Industry Earnings Estimate Awards, StarMine ranks qualifying analysts based on their Industry Estimate Score for the stocks in a specific industry. Industry Earnings Estimate Awards are presented to the top three qualifying analysts in each industry.

Qualification Criteria: To qualify for this ranking, an analyst must have had coverage on at least five stocks throughout 2010. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.

OVERALL EARNINGS ESTIMATE AWARDS
The ten qualifying analysts with the highest Overall Estimate Scores earn StarMine's Overall Earnings Estimate Awards.

Qualification Criteria: To qualify for StarMine's Top Ten list, an analyst must have had coverage on at least five stocks throughout 2010.

TOP BROKERAGE FIRMS Awards go to the three brokerage firms that have accumulated the greatest number of individual analyst awards in the United States. If an analyst has changed firms during an awards year, performance is attributed to the firm where the analyst worked for the majority of the year.

MOST PRODUCTIVE BROKERS
Most Productive Broker awards go to the three firms that have earned the highest number of individual analyst awards relative to the total number of qualifying analysts in their firm. To be considered for this award, a firm must have a minimum of ten analysts who qualified for a 2011 FT | StarMine Analyst Award.

TOP GLOBAL BROKER
The award for No.1 Global Broker for 2011 goes to the firm that had the best collective performance across three awards regions: Asia, Europe and the United States. Each firm's regional performance was normalized by dividing the firm's regional awards count by the number of awards won by the region's top broker. The regional scores for each broker were then totaled. The firm with the highest total score is the recipient of the No. 1 Global Broker Award.

NON-PARTICIPATING BROKERS
The following firms did not participate in the 2011 FT | StarMine Analyst Awards in the United States: Buckingham Research and Sidoti.

Close

2010

 
2010 FT | StarMine Analyst Awards Methodology
Asia / Europe / United States
StarMine, a Thomson Reuters company, objectively measures the performance of analysts based on the returns of their buy/sell recommendations and the accuracy of their earnings estimates. The 2010 awards are based on the 2009 calendar-year performance of recommendations and estimates on companies that are based in the US, Europe and Asia.

Data Source
StarMine's analyst awards are based on the estimates and recommendations as recorded in the Thomson Financial I/B/E/S database. StarMine uses the GICS (Global Industry Classification System) for its industry definitions. In some instances in Europe and Asia, the GICS has resulted in industries that are not large enough for ranking purposes. When this has been the case, StarMine has combined multiple industries to reflect the way analysts organise their coverage. For example, StarMine's "Financial Services" industry in Europe is a composite of the following GICS industries: Capital Markets, Consumer Finance and Diversified Financial Services.

Industry Stock Picking Awards
Analysts are ranked according to their Industry Excess Return, computed from a portfolio simulation that measures each analyst relative to an industry-based benchmark. The top three qualifying analysts in each industry receive an award.

Calculation of Industry Excess Return: All analyst returns are calculated relative to the return on a market capitalisation-weighted portfolio of all of the stocks in a given industry.

For comparison purposes, StarMine builds a non-leveraged portfolio for each analyst based on his recommendations. For each "Buy" recommendation, the portfolio is one unit long the stock and simultaneously one unit short the benchmark. The result gives the analyst credit for the amount by which the stock outperformed the benchmark. "Strong Buys" get a larger investment of two units long the stock and two units short the benchmark. "Holds" invest one unit in the benchmark (i.e., for an excess return of zero). "Sells" are the reverse: long the benchmark and short the stock. "Strong Sells" get a larger investment of two units long the benchmark and short the stock. The portfolio return is opportunity adjusted to facilitate a fair comparison of analyst performance regardless of their coverage universe.

The resulting portfolio is rebalanced each month and whenever the analyst adds coverage, drops coverage, or changes a rating.

Qualification Criteria: To qualify for a 2010 Industry Stock Picking Award, an analyst must have met the following criteria:
  1. An analyst must have covered at least five stocks in a given industry and region throughout 2009. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or one third of the stocks in the industry, whichever is greater.
  2. An analyst's industry return must have exceeded the return of the relevant industry benchmark. That is, his Industry Excess Return must be positive.
  3. An analyst must have delivered at least a three-star performance on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.
Overall Stock Picking Awards
Overall Stock Picking Awards go to the top ten qualifying analysts, based on overall excess return. To calculate overall excess return, StarMine uses the weighted average of each analyst's Industry Excess Returns, where weighting is based on the number of stocks the analyst covers in each industry.

Qualification Criteria: To qualify for the overall stock-picking awards, analysts must have covered at least five stocks in a given region. In addition, StarMine requires analysts to have earned a five-star rating on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

Overview of Earnings Estimate Awards
StarMine's proprietary metric, Single-stock Estimate Score (SES), measures the accuracy of each analyst's earnings forecasts. SES is a measure of relative accuracy; that is, analysts are compared against their peers. An analyst's SES can range from 0 to 100, with 50 representing the average analyst. To get a score higher than 50, an analyst must make estimates that are both significantly different from and more accurate than other analysts' estimates.

SES takes into account many factors: the analyst's absolute forecast error, the analyst's error compared to other analysts, the variance of the analysts' errors, the timing of the estimates, and the absolute value of the actual earnings for the stock. SES is computed daily and aggregated to provide scores on individual stocks, industries (the Industry Estimate Score), and the analyst overall (the Overall Estimate Score).

Industry Earnings Estimate Awards
To determine the winners of Industry Earnings Estimate Awards, StarMine ranks qualifying analysts based on their Industry Estimate Score for the stocks in a particular industry. Industry Earnings Estimate Awards are presented to the top three qualifying analysts in each industry.

Qualification Criteria: To qualify for this ranking, an analyst must have had coverage on at least five stocks in a given industry and region throughout 2009. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or one third of the stocks in the industry, whichever is greater.

Overall Earnings Estimate Awards
The ten qualifying analysts with the highest Overall Estimate Scores earn StarMine's Overall Earnings Estimate Awards.

Qualification Criteria: To qualify for StarMine's Top Ten list, an analyst must have had coverage on at least five stocks in a given region throughout 2009.

Top Ten Brokerage Firms
Awards go to the ten brokerage firms that have accumulated the greatest number of individual analyst awards in each of the three regions. If an analyst has changed firms during an awards year, performance is attributed to the firm where the analyst worked for the majority of the year.

Most Productive Brokers
Most Productive Broker awards go to the three firms that have earned the highest number of individual analyst awards relative to the total number of qualifying analysts in their firm. To be considered for this award, a firm must have a minimum of ten analysts who qualified for a 2010 FT | StarMine Analyst Award.

Top global broker
The award for No.1 Global Broker for 2010 goes to the firm that had the best collective performance across all three awards regions. Each firm's regional performance was normalised by dividing the firm's regional awards count by the number of awards won by the region's top broker. The regional scores for each broker were then totaled. The firm with the highest total score is the recipient of the No. 1 Global Broker Award.

Non-Participating Firms
The following firms did not participate in the 2010 FT | StarMine Analyst Awards: in the US - Buckingham Research and Sidoti; in Europe - Banesto Bolsa; and in Asia - CLSA.

European countries covered:
Austria, Belgium, Denmark, Finland, France, Germany, Greece, Iceland, Ireland, Italy, Liechtenstein, Luxembourg, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, United Kingdom.

Asian countries covered:
China, Hong Kong, Korea, Malaysia, Singapore, Taiwan.
Close

2009

 
StarMine Analyst Awards Methodology
StarMine, a Thomson Reuters company, objectively measures the performance of analysts based on the returns of their buy/sell recommendations and the accuracy of their earnings estimates. The FT | StarMine Analyst Awards are based on the 2008 calendar-year performance of recommendations and estimates on companies that are based in the United States.

Data Source
The US awards are based on the estimates and recommendations as recorded in the Thomson Reuters I/B/E/S database. StarMine uses the GICS (Global Industry Classification System) for its industry definitions.

Industry Stock Picking Awards
Analysts are ranked according to their Industry Excess Return, computed from a portfolio simulation that measures each analyst relative to an industry-based benchmark. The top three qualifying analysts in each industry receive an award.

Calculation of Industry Excess Return: All analyst returns are calculated relative to the return on a market capitalization-weighted portfolio of all of the stocks in a given industry.

For comparison purposes, StarMine builds a non-leveraged portfolio for each analyst based on his recommendations. For each "Buy" recommendation, the portfolio is one unit long the stock and simultaneously one unit short the benchmark. The result gives the analyst credit for the amount by which the stock outperformed the benchmark. "Strong Buys" get a larger investment of two units long the stock and two units short the benchmark. "Holds" invest one unit in the benchmark (i.e., for an excess return of zero). "Sells" are the reverse: long the benchmark and short the stock. "Strong Sells" get a larger investment of two units long the benchmark and short the stock. The portfolio return is opportunity adjusted to facilitate a fair comparison of analyst performance regardless of their coverage universe.

The resulting portfolio is rebalanced each month and whenever the analyst adds coverage, drops coverage, or changes a rating.

Qualification Criteria: To qualify for an Industry Stock Picking Award, an analyst must have met the following criteria:

  1. An analyst must have covered at least five stocks in a given industry throughout 2008. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.
  2. An analyst's industry return must have exceeded the return of the relevant industry benchmark. That is, his Industry Excess Return must be positive.
  3. An analyst must have delivered at least a 3-star performance on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.
Overall Stock Picking Awards
Overall Stock Picking Awards go to the top ten qualifying analysts, based on overall excess return. To calculate overall excess return, StarMine uses the weighted average of each analyst's Industry Excess Returns, where weighting is based on the number of stocks the analyst covers in each industry.

Qualification Criteria: To qualify for the overall stock-picking awards, analysts must have covered at least five stocks in the United States. In addition, StarMine requires analysts to have earned at least a 5-star rating on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

Overview of Earnings Estimate Awards
StarMine's proprietary metric, Single-stock Estimate Score (SES), measures the accuracy of each analyst's earnings forecasts. SES is a measure of relative accuracy; that is, analysts are compared against their peers. An analyst's SES can range from 0 to 100, with 50 representing the average analyst. To get a score higher than 50, an analyst must make estimates that are both significantly different from and more accurate than other analysts' estimates.

SES takes into account many factors: the analyst's absolute forecast error, the analyst's error compared to other analysts, the variance of the analysts' errors, the timing of the estimates, and the absolute value of the actual earnings for the stock. SES is computed daily and aggregated to provide scores on individual stocks, industries (the Industry Estimate Score), and the analyst overall (the Overall Estimate Score).

Industry Earnings Estimate Awards
To determine the winners of Industry Earnings Estimate Awards, StarMine ranks qualifying analysts based on their Industry Estimate Score for the stocks in a specific industry.

Qualification Criteria: An analyst must have covered at least five stocks in a given industry throughout 2008. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.

Overall Earnings Estimate Awards
The ten qualifying analysts with the highest Overall Estimate Scores earn StarMine's Overall Earnings Estimate Awards.

Qualification Criteria: To qualify for StarMine's Top Ten list, an analyst must have had coverage on at least five stocks in the region throughout 2008.

Top Ten Brokers
Awards go to the ten brokerage firms that have accumulated the greatest number of individual analyst awards. If an analyst has changed firms during an awards year, performance is attributed to the firm where the analyst worked for the majority of the year.

Most Productive Brokers
Most Productive Broker awards go to the three firms that have earned the highest number of individual analyst awards relative to the total number of qualifying analysts in their firm. To be considered for this award, a firm must have a minimum of ten analysts who qualified for a 2009 FT | StarMine Analyst Award.

Non-Participating Firms
The following firms did not participate in the 2009 FT | StarMine Analyst Awards for the United States: Buckingham Research, Sanford C. Bernstein & Co. and Sidoti & Company.
Close

2008

 
StarMine Analyst Awards Methodology
StarMine objectively measures the performance of analysts based on the returns of their buy/sell recommendations and the accuracy of their earnings estimates. The FT/StarMine Analyst Awards are based on the 2007 calendar-year performance of recommendations and estimates on companies that are based in the United States.

Data Source
The US awards are based on the estimates and recommendations as recorded in the Thomson Financial I/B/E/S database. StarMine uses the GICS (Global Industry Classification System) for its industry definitions.

Industry Stock Picking Awards
Analysts are ranked according to their Industry Excess Return, computed from a portfolio simulation that measures each analyst relative to an industry-based benchmark. The top three qualifying analysts in each industry receive an award.

Calculation of Industry Excess Return
All analyst returns are calculated relative to the return on a market capitalization-weighted portfolio of all of the stocks in a given industry.

For comparison purposes, StarMine builds a non-leveraged portfolio for each analyst based on his recommendations. For each "Buy" recommendation, the portfolio is one unit long the stock and simultaneously one unit short the benchmark. The result gives the analyst credit for the amount by which the stock outperformed the benchmark. "Strong Buys" get a larger investment of two units long the stock and two units short the benchmark. "Holds" invest one unit in the benchmark (i.e., for an excess return of zero). "Sells" are the reverse: long the benchmark and short the stock. "Strong Sells" get a larger investment of two units long the benchmark and short the stock. The portfolio return is opportunity adjusted to facilitate a fair comparison of analyst performance regardless of their coverage universe.

The resulting portfolio is rebalanced each month and whenever the analyst adds coverage, drops coverage, or changes a rating.

Qualification Criteria
To qualify for an Industry Stock Picking Award, an analyst must meet the following criteria:

  1. An analyst must have covered at least five stocks in a given industry throughout 2007. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.
  2. An analyst's industry return must have exceeded the return of the relevant industry benchmark. That is, his Industry Excess Return must be positive.
  3. An analyst must have delivered at least a 3-star performance on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.
Overall Stock Picking Awards
Overall Stock Picking Awards go to the top ten qualifying analysts, based on overall excess return. To calculate overall excess return, StarMine uses the weighted average of each analyst's Industry Excess Returns, where weighting is based on the number of stocks the analyst covers in each industry.

Qualification Criteria
To qualify for the overall stock-picking awards, analysts must have covered at least five stocks throughout 2007. In addition, StarMine requires analysts to have earned at least a 5-star rating on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

Overview of Earnings Estimate Awards
StarMine's proprietary metric, Single-stock Estimate Score (SES), measures the accuracy of each analyst's earnings forecasts. SES is a measure of relative accuracy; that is, analysts are compared against their peers. An analyst's SES can range from 0 to 100, with 50 representing the average analyst. To get a score higher than 50, an analyst must make estimates that are both significantly different from and more accurate than other analysts' estimates.

SES takes into account many factors: the analyst's absolute forecast error, the analyst's error compared to other analysts, the variance of the analysts' errors, the timing of the estimates, and the absolute value of the actual earnings for the stock. SES is computed daily and aggregated to provide scores on individual stocks, industries (the Industry Estimate Score), and the analyst overall (the Overall Estimate Score).

Industry Earnings Estimate Awards
To determine the winners of Industry Earnings Estimate Awards, StarMine ranks qualifying analysts based on their Industry Estimate Score for the stocks in a specific industry.

Qualification Criteria
To qualify for this ranking, an analyst must have had coverage on at least five stocks throughout 2007. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.

Overall Earnings Estimate Awards
The ten qualifying analysts with the highest Overall Estimate Scores earn StarMine's Overall Earnings Estimate Awards.

Qualification Criteria
To qualify for StarMine's Top 10 list, an analyst must have had coverage on at least five stocks throughout 2007.

Non-Participating Firms
The following firms did not participate in the FT/StarMine Analyst Awards for the United States: Buckingham Research, CLSA Ltd., Lehman Brothers, Sanford C. Bernstein & Co. and Sidoti & Company.
Close

2007

 
StarMine Analyst Awards Methodology
StarMine objectively measures the performance of analysts based on the returns of their buy/sell recommendations and the accuracy of their earnings estimates. The 2007 awards are based on the 2006 calendar-year performance of recommendations and estimates on companies that are based in the United States.

Data Source
StarMine's United States awards are based on the estimates and recommendations as recorded in the Thomson Financial I/B/E/S database. StarMine uses the GICS (Global Industry Classification System) for its industry definitions.

Industry Stock Picking Awards
Analysts are ranked according to their Industry Excess Return, computed from a portfolio simulation that measures each analyst relative to an industry-based benchmark. The top three qualifying analysts in each industry receive an award.

Calculation of Industry Excess Return
All analyst returns are calculated relative to the return on a market capitalization-weighted portfolio of all of the stocks in a given industry.

For comparison purposes, StarMine builds a non-leveraged portfolio for each analyst based on his recommendations. For each "Buy" recommendation, the portfolio is one unit long the stock and simultaneously one unit short the benchmark. The result gives the analyst credit for the amount by which the stock outperformed the benchmark. "Strong Buys" get a larger investment of two units long the stock and two units short the benchmark. "Holds" invest one unit in the benchmark (i.e., for an excess return of zero). "Sells" are the reverse: long the benchmark and short the stock. "Strong Sells" get a larger investment of two units long the benchmark and short the stock. The portfolio return is opportunity adjusted to facilitate a fair comparison of analyst performance regardless of their coverage universe.

The resulting portfolio is rebalanced each month and whenever the analyst adds coverage, drops coverage, or changes a rating.

Qualification Criteria
To qualify for a 2007 Industry Stock Picking Award, an analyst must have met the following criteria:

  1. An analyst must have covered at least five stocks in a given industry throughout 2006. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.
  2. An analyst's industry return must have exceeded the return of the relevant industry benchmark. That is, his Industry Excess Return must be positive.
  3. An analyst must have delivered at least a 3-star performance on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.
Overall Stock Picking Awards
Overall Stock Picking Awards go to the top ten qualifying analysts, based on overall excess return. To calculate overall excess return, StarMine uses the weighted average of each analyst's Industry Excess Returns, where weighting is based on the number of stocks the analyst covers in each industry.

Qualification Criteria
To qualify for the overall stock-picking awards, analysts must have covered at least five stocks. In addition, StarMine requires analysts to have earned a 5-star rating on their overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

Overview of Earnings Estimate Awards
StarMine's proprietary metric, Single-stock Estimate Score (SES), measures the accuracy of each analyst's earnings forecasts. SES is a measure of relative accuracy; that is, analysts are compared against their peers. An analyst's SES can range from 0 to 100, with 50 representing the average analyst. To get a score higher than 50, an analyst must make estimates that are both significantly different from and more accurate than other analysts' estimates.

SES takes into account many factors: the analyst's absolute forecast error, the analyst's error compared to other analysts, the variance of the analysts' errors, the timing of the estimates, and the absolute value of the actual earnings for the stock. SES is computed daily and aggregated to provide scores on individual stocks, industries (the Industry Estimate Score), and the analyst overall (the Overall Estimate Score).

Industry Earnings Estimate Awards
To determine the winners of Industry Earnings Estimate Awards, StarMine ranks qualifying analysts based on their Industry Estimate Score for the stocks in a specific industry. Industry Earnings Estimate Awards are presented to the top three qualifying analysts in each industry.

Qualification Criteria
To qualify for this ranking, an analyst must have had coverage on at least five stocks throughout 2006. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.

Overall Earnings Estimate Awards
The ten qualifying analysts with the highest Overall Estimate Scores earn StarMine's Overall Earnings Estimate Awards.

Qualification Criteria
To qualify for StarMine's Top Ten list, an analyst must have had coverage on at least five stocks throughout 2006.

Non-Participating Firms
The following firm did not participate in StarMine's 2007 Annual Analyst Awards for the United States: Buckingham Research; CLSA Ltd.; Lehman Brothers; Sanford C. Bernstein & Co.; and Sidoti & Company.
Close

2006

 
StarMine Analyst Awards Methodology
StarMine objectively measures the performance of analysts based on the returns of their buy/sell recommendations and the accuracy of their earnings estimates. The 2006 awards are based on the 2005 calendar-year performance of recommendations and estimates on companies that are based in the United States.

Data Source
StarMine's United States awards are based on the estimates and recommendations as recorded in the Thomson Financial I/B/E/S database. StarMine uses the GICS (Global Industry Classification System) for its industry definitions.

Industry Stock Picking Awards
Analysts are ranked according to their Industry Excess Return, computed from a portfolio simulation that measures each analyst relative to an industry-based benchmark. The top three qualifying analysts in each industry receive an award.

Calculation of Industry Excess Return
All analyst returns are calculated relative to the return on a market capitalization-weighted portfolio of all of the stocks in a given industry.

For comparison purposes, StarMine builds a non-leveraged portfolio for each analyst based on his recommendations. For each "Buy" recommendation, the portfolio is one unit long the stock and simultaneously one unit short the benchmark. The result gives the analyst credit for the amount by which the stock outperformed the benchmark. "Strong Buys" get a larger investment of two units long the stock and two units short the benchmark. "Holds" invest one unit in the benchmark (i.e., for an excess return of zero). "Sells" are the reverse: long the benchmark and short the stock. "Strong Sells" get a larger investment of two units long the benchmark and short the stock.

The resulting portfolio is rebalanced each month and whenever the analyst adds coverage, drops coverage, or changes a rating.

Qualification Criteria
To qualify for a 2006 Industry Stock Picking Award, an analyst must have met the following criteria:

  1. An analyst must have covered at least five stocks in a given industry throughout 2005. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.
  2. An analyst's industry return must have exceeded the return of the relevant industry benchmark. That is, his Industry Excess Return must be positive.
  3. An analyst must have delivered at least a 3-star performance on his overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.
Overall Stock Picking Awards
Overall Stock Picking Awards go to the top ten qualifying analysts, based on overall excess return. To calculate overall excess return, StarMine uses the weighted average of each analyst's Industry Excess Returns, where weighting is based on the number of stocks the analyst covers in each industry.

Qualification Criteria
To qualify for the overall stock-picking awards, an analyst must have covered at least five stocks. In addition, StarMine requires an analyst to have earned a 5-star rating on his overall coverage (i.e., for all industries covered), as measured by StarMine's Coverage-Relative Rating.

Overview of Earnings Estimate Awards
StarMine's proprietary metric, Single-stock Estimate Score (SES), measures the accuracy of each analyst's earnings forecasts. SES is a measure of relative accuracy; that is, analysts are compared against their peers. An analyst's SES can range from 0 to 100, with 50 representing the average analyst. To get a score higher than 50, an analyst must make estimates that are both significantly different from and more accurate than other analysts' estimates.

SES takes into account many factors: the analyst's absolute forecast error, the analyst's error compared to other analysts, the variance of the analysts' errors, the timing of the estimates, and the absolute value of the actual earnings for the stock. SES is computed daily and aggregated to provide scores on individual stocks, industries (the Industry Estimate Score), and the analyst overall (the Overall Estimate Score).

Industry Earnings Estimate Awards
To determine the winners of Industry Earnings Estimate Awards, StarMine ranks qualifying analysts based on their Industry Estimate Score for the stocks in a specific industry. Industry Earnings Estimate Awards are presented to the top three qualifying analysts in each industry.

Qualification Criteria
To qualify for this ranking, an analyst must have had coverage on at least five stocks throughout 2005. If an industry has fewer than 15 stocks, an analyst must have covered a minimum of three stocks or 1/3 of the stocks in the industry, whichever is greater.

Overall Earnings Estimate Awards
The ten qualifying analysts with the highest Overall Estimate Scores earn StarMine's Overall Earnings Estimate Awards.

Qualification Criteria
To qualify for StarMine's Top Ten list, an analyst must have had coverage on at least five stocks throughout 2005.

Non-Participating Firms
The following firm did not participate in StarMine's 2006 Annual Analyst Awards for the United States: Buckingham Research; CLSA Ltd.; Lehman Brothers; Sanford C. Bernstein & Co., LLC.; and Sidoti & Company, LLC.
Close