Analyst Data Tools
Stock Analysis Tools
TipRanks is a stock research platform that may have come across your computer screen. TipRanks makes use of well-known analysts, alerts, and a variety of features to help your stock trading. So, are they really worth it? Read to learn more about TipRanks.
TipRanks is a useful research platform that highlights stocks that have been rated or recommended by well-known analysts. While TipRanks itself does not provide any new information that could not be gleaned for free elsewhere, by collating and aggregating information about analyst ratings it makes it simple to see how smart investors feel about individual stocks or sectors. In addition, TipRanks collects insider trading information to further identify stocks that are ripe for medium- and long-term trading.
TipRanks offers a basic membership for free, although access to the site is highly limited with this plan. Free users cannot see the individual stocks recommended by analysts, nor do they get access to portfolio management tools. However, free users can use the stock screener, view that day’s new analyst ratings, and view analyst ratings and price targets for any individual stock.
Paid “Premium” plans cost $29.95 per month (charged annually) and provide access to the majority of TipRanks’ content. The only notable content that is not offered to Premium members is the ability to follow stocks that have significant insider trading activity.
“Ultimate” plans cost $49.95 per month and allow traders to watch stocks that have insider trading activity. This plan also allows traders to create and manage multiple portfolios within TipRanks.
For paid plans, TipRanks offers a 30-day money-back guarantee.
Top 25 Analysts
The first feature that TipRanks includes is a collation of the 25 best-performing analysts across Wall Street and in each market sector. For each analyst, you can view the current ratings that the analyst has issued and compare the analyst’s performance over the past one or more years to the S&P 500 or to the sector they focus on.
You also have the option to follow individual analysts. While it is possible to see analysts you follow in your TipRanks profile, the primary advantage of following an analyst is to receive alerts and emails when that analyst issues new stock ratings. However, these notifications can also be turned off.
Consensus recommendations on stocks from analysts are displayed across the site in several different ways. First, TipRanks collates a table of stocks that have “Strong Buy” or “Strong Sell” ratings from multiple analysts. These recommendations can be filtered by market cap and by sector.
On top of that, TipRanks offers a list of all ratings issued by analysts each day. This list can be quite long since it includes all notable analysts – not just the top 25 in each sector. However, the list can be filtered by a number of parameters, including a star rating for analysts that filters out analysts that tend to underperform their sectors.
Taking this consensus recommendation system one step further, TipRanks also allows you to easily see which stocks have received recent coverage by multiple analysts. This is one of the best places on the site to quickly find stocks that have been highly recommended by multiple analysts.
TipRanks looks at trading by corporate executives in much the same way that it examines analyst ratings. The platform gives a positivity rating to each insider’s recent trading activity, which serves a similar purpose as an analyst’s “Strong Buy,” “Neutral,” or other rating. Interestingly, TipRanks also quickly summarizes what type of trading occurred – whether it was by the company’s owner, a C-level officer, or another important insider. It’s also extremely easy to see whether multiple insiders bought or sold stock.
Note that insider transactions can also be viewed on a daily basis, in much the same way as each day’s new analyst ratings.
The pages for individual stocks are extremely useful for traders who want to dig deeper into a particular stock or recommendation. A simple chart displays the recent price history of the stock as well as the high, average, and low 12-month price targets issued by analysts. A detailed table below the chart shows all of the analysts who have issued ratings on the stock and their price targets.
Interestingly, TipRanks goes beyond just analysts and insiders when it comes to individual stocks. The platform offers every stock an “investor sentiment” rating, which is based on the number of investors on TipRanks who have added or removed that stock to or from their portfolios over the prior 30 days. The platform also collates online news sources to offer a “blogger opinions” rating. While some traders may find these ratings helpful, they should be interpreted with a grain of salt.
While there is some basic charting and fundamental data given for each stock, this information is relatively scarce across TipRanks and will likely need to come from another source for in-depth research.
The stock screener offered by TipRanks is notable in that it focuses far less on fundamentals or technical indicators than most standard stock screeners. Instead, it essentially serves as a search function for TipRanks itself, allowing you to filter stocks by analyst ratings, investor sentiment, insider trading activity, and sector.
This feature is always appreciated on platforms that compile a lot of data. We’ve seen similar features on Zacks Premium and IBD’s Marketsmith. Having the ability to filter the unique data points can be great for investors who want a flexible tool that can be molded to their personal investment strategies.
TipRanks’ screener is easy to use and has a nice visual interface that makes it easy to comb through results.
Depending on the tier of your subscription plan, you can establish one or more portfolios within TipRanks. Portfolios can be imported from most major brokerages or added manually, and portfolios can be used like watchlists since you do not need to add purchase prices.
The usefulness of these portfolios is somewhat limited, as the main information displayed is a pie chart of analyst recommendations on each stock in your portfolio. One interesting analysis tool for portfolios is that returns can be compared against the S&P500 and the average TipRanks user portfolio. However, while a basic news stream and an earnings calendar can be useful for some traders, there are otherwise few surprising or particularly helpful tools within TipRanks portfolios.
Platform Ease of Use
TipRanks is an easy-to-use browser-based platform. The site is mostly well-organized, although there are a few repetitive menu items that can make navigating the site somewhat confusing at first. In addition, many sections of the site resemble advertisements for other parts of the site – which can be annoying when trying to find information.
That said, TipRanks uses a highly graphical approach that makes it easy to digest information. Pie and bar charts are abundant across the site, and tables are shaded and illustrated to make it easier to find information. While most pages cannot be customized, you have the option to choose settings for your portfolio, alerts, and emails.
TipRanks Platform Differentiators
TipRanks focuses heavily on analyst recommendations and insider trading, essentially promoting a strategy of following the smart money. While all of the information available on TipRanks could be obtained elsewhere, TipRanks vastly simplifies the work of digesting analyst ratings by aggregating the data and displaying it in a highly graphic manner. The investor sentiment and blogger ratings tools are somewhat unique to this platform, although traders should interpret them cautiously. Where TipRanks falls short is in not providing much in the way of fundamental or technical information to give traders a more holistic view of why a stock has received positive or negative ratings or to help identify entry and exit points.
What Type of Trader is TipRanks Best For?
TipRanks is best for traders whose strategy is to follow smart Wall Street money – that is, institutional investors and executive insiders. The platform makes it extremely easy to keep an eye on what analysts and corporate insiders are doing, even going so far as to send alerts when followed analysts issue new ratings. While TipRanks could work for short-term traders, it is better suited to medium- and long-term active investors since there is little in the way of technical data to inform entry and exit points and all price targets are 12-month targets.
- See ratings from top analysts in each market sector
- Quickly identify stocks with multiple recent buy or sell ratings
- Alerts when analysts issue new ratings or insiders trade on a portfolio stock
- Stock viewer makes it easy to identify price targets
- Highly graphical and easy to interpret display
- Very little emphasis on fundamental or technical indicators
- Includes data from analysts with historical performances worse than the market