Managing shares and investing money involves a major risk. Over a period of time, as markets grew in complexity, it led to the appointment of stock market analysts or securities analysts.

Stock market analysts generally work in multinational companies, banks, government departments associated to finance and insurance companies.

Banks that have mutual fund schemes also appoint securities analysts to handle shares efficiently. Highly trained people in the field of economics, finance and accounting are preferred for this job.

  • The job of a Research/ Stockmarket analyst is to do research and examine the performance of an organization based on the financial data obtained from the stock exchange.
  • Various investment plans are then planned by the stock market analyst depending on the market scenario.
  • They keep the clients updated with the current market trends even during market slowdown.
  • Market analysts are also endowed with a great responsibility of investing money such that maximum dividend is earned. They suggest how and where to invest money.


Stock market analyst has to ensure that the investment doesn’t lead to any financial losses. For this reason, they have an efficient and systematic working procedure.

  • Firstly, securities of multiple companies are examined through spreadsheets and various other software clients developed for analyzing shares. Stocks are analyzed using the company sales, prices and taxes.

  • Stock market analysts then study the factors that might be responsible for affecting the market price of the share. Factors like financial stability, labor availability, product unavailability; union strikes, etc lead to a decrease in the market price of the stock.

  • Research analysts predict the future of the organization by estimating the earnings. They advice the clients or associated companies whether or not to invest in the organization. They also anticipate the market movement in case of a recession to prevent monetary losses to clients through stocks.

  • These analysts also suggest various other industries where the clients could earn more than their current earning.

  • Buying or selling of shares depending on the company’s financial position and trading scenario is judged by the stock market analyst.


Research analysts are required by every organization to study the market trends of the participants on the stock exchange. It would be a very risky affair to plan investment schemes without appropriate analysis of the market scenario. If you want to test your knowledge about Analysts play this quiz on research analyst.

These analysts are responsible for suggesting the clients various methods of secure investing and maximum earning in a limited period of time. In absence of these analysts, studying the complex stock market would be difficult.

Leave a Comment