Recommendations by analysts who monitor corporate performance
A) have a material impact on the business and all of its stakeholders.
B) are generally disregarded by the majority of investors.
C) are illegal under the Sarbanes-Oxley Act.
D) are the only drivers of public opinion about a firm.
E) typically have little impact on a company's viability.

Question

Quizplus · Accepted Answer

Analyst recommendations can significantly influence investor behavior and perceptions, affecting stock prices and potentially impacting a company's financial health and its relationships with stakeholders. They are not disregarded by investors, not illegal under the Sarbanes-Oxley Act, not the sole drivers of public opinion, and can have more than a little impact on a company's viability.

Recommendations by Analysts Who Monitor Corporate Performance