Several institutions issue rankings based on the accuracy of price and EPS forecasts. Given that these rankings are ex-post they may not be able useful to investors. In this paper we show that trading strategies based on perfect foresight and past rankings outperform a passive strategy. In...

The prediction of the most accurate analysts is typically modeled in terms of individual analyst characteristics. This approach has the disadvantage that these data are hard to collect and often unreliable. We follow a different approach in which we characterize the general behavior of rankings...