Investment Rating Framework
Our investment rating system is designed to guide investors in making informed decisions based on a company's potential to deliver returns relative to the broader market. Whether identifying opportunities for outperformance or signaling caution, these ratings provide a clear framework for aligning investment strategies with risk tolerance and return objectives. Below is an overview of our ratings and what they signify.
Overweight (Buy):
Companies rated as 'OUTPERFORM' or 'BUY' are expected to outperform the broader market. These firms are not only mispriced but also exhibit financial resilience, competitive advantages, and the ability to capitalize on industry opportunities.
Market Perform (Hold):
Firms rated as 'Market Perform' or 'Hold' are expected to deliver returns comparable to market averages, despite some potentially being overvalued.
Underweight (Sell):
Companies rated 'Underperform' are likely to yield below-market returns, often due to weaker fundamentals, limited growth prospects, or unfavorable industry trends. These businesses may face challenges like operational inefficiencies or competitive pressures.
Short-Sell:
This rating indicates significant underlying business issues, suggesting that the company faces serious challenges. These situations may present opportunities for investors to profit from anticipated declines in value.