The stock tips from your buddy? They really aren’t good

[Scooterd]

Hailiang Chen and Byoung-Hyoun Hwang examined server data from the prominent US website Seeking Alpha and checked which articles were most often read and which ones were most often shared with other users. They found ....... https://klementoninvesting.substack.com/...ce=url&s=r

[crimsonghost747]

The paper is a pretty interesting one. I didn't have time to read it all but I did scroll through some of the parts.
But yeah, from what I can see the premise is that the more people share the post, the less likely it is to be good investment advice.
Now that I think about it, I'm not too surprised. "BUY THIS NOW IT'S COOL" is much more viral than a deep look at how the capital expenditure cycle of a company will lead to increased cash flows within the next 3 years.

But popular does not mean good. Popular is not even meant to be good, it's meant to be popular. The most popular news channels? Crap. The most popular movies? Crap. The most popular investment related tv shows? Crap. The large audience doesn't want intricate details, they want some fast and easy to understand entertainment.

To sum it up: basically popularity does not equal quality. I don't think anyone is surprised to hear this.
But it was a good paper on an interesting topic, thanks for sharing.