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Analyst Crackdown Did Nothing to Improve U.S. Earnings Forecasts

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Analyst Crackdown Not Improving Earnings Forecasts: Study

Turns out you can’t regulate accuracy.

More than a decade after a government crackdown on conflicts of interest on Wall Street, a new study says stock analysts are no better now than they used to be at predicting corporate earnings. Actually, they’re worse, according to the paper, which reviewed how close profit estimates came to what companies ended up reporting from fiscal year 1994 to 2013.