5-Star Stocks Poised to Pop: FormFactor

• Report this Comment On December 25, 2008, at 1:16 AM, brassbear wrote:

  My problem with this short article, as with so many others, is that it relies solely on "the community" to provide a recommendation but there is no additional analysis provided by our TMF investing pros regarding their current opinion on the wisdom of buying FORM at its current price. It may well be that, on a statistical basis, a five star rating out performs a one star rating but this general statistical support should not be used to supplant or replace what TMF's investing experts say. It seems to me that TMF is hiding behind its subscribers too frequently and this approach is not what I am paying TMF for. At most, community opinion should be used as a supplement to TMF's analysis on a company but should not be the sole basis for an article, in my opinion. At the very least, TMF should link to an analyst's current update rather than requiring a reader to undertake such research which may or may not lead to TMF's most recent opinion.

  There also is a possibility of a conflict of interest inherent in this structure. What if a TMF analyst following a stock which is highly rated by the community believes the company has serious hurdles to overcome before it can hope to outperform the market. The analyst might feel some personal reluctance or even internal TMF management pressure not to go negative on a company the "community" feels is a five star selection. I am not saying this conflict actually occurs. I have no evidence suggesting it does. Use of the CAPS rating system in this way, however, certainly presents a perception that such a conflict could exist.

• Report this Comment On August 24, 2009, at 8:33 AM, Gtrinvestor wrote:

  I agree. I would rather there be less articles from TMF w/ more substance.

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