Companies Reveal What They Really Think About Investors and Analysts
Investor relations professionals inner thoughts available in new IR Insight report
Jan 23, 2012, 09:00 ET
NEW YORK, Jan. 23, 2012 /PRNewswire/ -- IR magazine, the only global publication addressing the interface of public companies and their investors, is excited to reveal what investor relations professionals around the world really think about institutional investors and equity analysts in its latest report, The IRO Perception Study.
This latest report from IR Insight, the research arm of IR magazine, is based on a survey in which more than 1,200 corporate investor relations professionals participated. Providing insights that will not be found anywhere else, this free report delivers a rare look at how the investor relations community perceives the challenges it faces when dealing with its core constituency.
Highlights from The IRO Perception Study include:
- How IR professionals perceive themselves: regardless of the effectiveness of the IR team, the IR community still sees the quality of senior management as most important to investors and analysts, with the gap between IR officer importance and senior management importance widest in North America.
- Sell-side analyst satisfaction: at best, respondents are 'lukewarm' about sell-side analysts, according to The IRO Perception Study, with more than two thirds having no strong feelings, either positive or negative. Healthcare IR officers are most dissatisfied with sell-side analyst coverage. Overall, respondents indicate that sell-side analysts are of 'variable quality' with criticism focused on analysts who are unengaged or inactive, spread too thin and too focused on the short term.
- Keeping the analysts happy: the average mega-cap is covered by 28.1 analysts, with the average large cap at 22.3. IR officers find it challenging to meet their needs, as a result. IR officers indicate that they prefer working with the firms that provide more marketability to institutional investors.
- Playing favorites: overall, IR professionals do have their favorite analysts. Bank of America Merrill Lynch and Credit Suisse come out on top (tied), with Barclays Capital, Deutsche Bank and Morgan Stanley rounding out the top five. The top three investors indicated by the respondents are Fidelity, Capital Group and T Rowe Price.
The IRO Perception Study is available for free download at Inside Investor Relations (http://www.insideinvestorrelations.com/research/).
About IR Insight
IR Insight is IR magazine's research brand, building on the publication's established global research efforts. Since 1991, IR magazine has taken its renowned investor perception study around the world, to markets as diverse as Brazil, China, Singapore, the Nordic region, South Africa, Canada, the UK and the US. In every market, the process is the same: each year thousands of buy-side analysts, sell-side analysts and portfolio managers are asked which companies have the best investor relations. IR Insight is building on that expertise for its new series of studies examining successful investor relations practice and the key drivers of investor sentiment. To generate customized reports on your global peer group, please visit our website: www.insideinvestorrelations.com/research.
About IR magazine
IR magazine is the only global publication focused on the interface between companies and their investors. IR magazine hosts events in the US, the UK, Europe, Canada, Singapore, Hong Kong and Brazil. Inside Investor Relations (www.insideinvestorrelations.com) is the magazine's companion website, which includes daily news updates that are highly relevant to investor relations professionals. Visit www.insideinvestorrelations.com for more details.
About Cross Border
Cross Border publishes IR magazine and Corporate Secretary. Based in New York and London, the company reaches highly targeted audiences in the investor relations and corporate governance communities through the two magazines and accompanying newsletters, events and websites. With roots in the Economist Group, we are renowned for providing quality insight and a global perspective. Our flagship publications, IR magazine and Corporate Secretary, are essential reading for executives around the world. Our awards are a key part of the calendar in leading financial centers including New York, London and China. With an expanding portfolio of digital properties and more than 20 conferences and events each year, we are well positioned for growth.
Visit IR magazine: www.insideinvestorrelations.com
Visit Corporate Secretary: www.corporatesecretary.com
Group Marketing Director
SOURCE IR magazine
Share this article