In honor of this day we share with you, this Equity Research Report.
It is dated January 26, 2001 - and in it, Bear Stearns assigns Enron Corp. a “Buy” rating with a target price of $98/share…. by December 2 of that very same year (10 months later), Enron filed for bankruptcy.
You cant make this stuff up.
For those of you who need a refresher….
Trailing stop losses would have worked like a charm here. We’ve seen it a million times. Even when an analysis is based on fraudulent financial reports - the trailing stop is the investors last line of defense.
Happy April Fools day!
Chief Investment Officer
Elevate Capital Advisors