While the practice is not universally advocated, a vast majority of IROs who responded to the latest poll on Inside Investor Relations say companies should compile consensus estimates internally.
A huge 85 percent say they support the practice, while 13 percent say they don’t think companies should formulate an in-house view of consensus. Just 2 percent are not sure either way.
The most common reason for companies to do this is because they say the consensus figures put out by data aggregators are often inaccurate or out of date.
One IRO in our recent article on this topic estimates that 20 percent-30 percent of FTSE 100 companies now not only compile consensus internally but also distribute those figures to the market.
By Tim Human
Companies publish their own consensus estimates – Inside Investor Relations
Buried treasure – Inside Investor Relations