Here are the top 10 Wall Street research firms of the past decade, according to TipRanks
People are seen at the entrance of the UBS office in London, Britain March 20, 2023.
Henry Nicholls | Reuters
After identifying the 10 best analysts on Wall Street of the past decade, here is a list of the 10 top research firms.
To create this list, TipRanks analyzed every stock recommendation made by investment research firms in the past decade. The ranking is based on the average return, success rate and statistical significance (number of recommendations made) of the ratings of analysts working at those firms.
By incorporating statistical significance into our analysis, the list prioritizes firms with a higher number of ratings. This explains why some research firms may have a higher success rate and average return yet rank lower.
TipRanks has leveraged its Experts Center tool to identify the top 10 research firms.
Top 10 Wall Street Research Firms
The image below shows the most successful Wall Street research firms in descending order.
1. RBC Capital
Topping the list is the global investment bank RBC Capital. The firm’s 223 analysts issued 27,352 recommendations, the most out of all firms on this list, across various sectors. RBC Capital sports a success rate of 56%. Based on its recommendations, the firm generated an average return of 9.3%.
Full-service investment banking and capital markets firm Jefferies came second on the list. It has delivered an average return of 8.3% and has a success rate of 56% based on 25,218 ratings from 358 analysts. The firm’s most profitable sector is Utilities.
3. Truist Financial
Grabbing the third spot is the financial services provider Truist Financial. It has generated an average return of 13.4% based on 10,164 recommendations by 66 analysts across a diverse range of sectors. It has a success rate of 60%.
4. Credit Suisse
Taking fourth place is the global financial services firm Credit Suisse. Its 467 analysts provided 18,683 recommendations across diverse sectors, generating an average return of 8.3%. Credit Suisse has a 57% success rate.
Note: Credit Suisse was acquired by UBS on March 19.
Swiss banking and financial services giant UBS came in fifth place. Its 417 analysts have a 58% success rate on over 15,800 ratings, with an average return of 7.2%. The firm’s most profitable sector is Technology.
6. Keefe, Bruyette & Woods (KBW)
KBW is a full-service, boutique investment bank, and broker-dealer. Its team of 75 analysts issued 3,947 stock recommendations. The analysts have been most successful at recommending Services sector stocks. It boasts a success rate of 65%, the highest on this list, and an average return of 11.6%.
7. Raymond James
Next on the list is the independent investment bank and financial services company Raymond James. It has delivered an average return of 8.2%. Moreover, it has a success rate of 55% based on 21,691 ratings from 162 analysts across a diverse range of sectors.
Global wealth management and investment banking company Stifel features on the eighth spot of this list. The firm’s 291 analysts issued 20,870 recommendations across various sectors. Stifel has a success rate of 54%, and the firm generated an average return of 9.1%. It has been most profitable in recommending Technology sector stocks.
9. Wolfe Research
Independent sell-side research firm Wolfe Research takes the ninth spot. Its 48 analysts have a 61% success rate on over 5,432 ratings with an average return of 11%. The firm has been most profitable at recommending consumer goods sector stocks.
10. Deutsche Bank
German investment bank and financial services company Deutsche Bank is in the 10th spot. It has generated an average return of 7.3%. It has a 56% success rate on over 15,732 ratings from 346 analysts.
Investors can follow the views of these top research firms to form well-informed investment decisions. Meanwhile, investors willing to see which firms come out on top using different criteria, including benchmarked against the sector, or S&P 500, no benchmark, and timeframe, can leverage TipRanks’ Top Performing Research Firms tool.