Definition : An equity analyst also known as stock analyst studies the financial performance of companies by analysing financial and other company related information and recommends appropriate business action. He/she prepares reports on company finances and describes company’s business investment potential by giving recommendation such as buy, sell, hold etc.
Explanation: Equity analyst prepares report based on information available mostly at public domain like company website, information available at stock exchanges, studying public records, documents filed by the company as well as participating in public conference organized by company. An analyst can interview company’s key management depending on the scope of the report. Generally, these analyst works in brokerage, mutual fund houses, securities firms, investment banks, banks, insurance companies, pension funds etc.