Covered Stock (Coverage)


DEFINITION of 'Covered Stock (Coverage)'

A stock that is monitored or covered by an analyst at a brokerage firm for the purpose of issuing research reports that are disseminated to the firm's clients. Upon commencement of coverage, the analyst will usually publish an "initiating coverage" report on the stock, and subsequently issue periodic updates.

BREAKING DOWN 'Covered Stock (Coverage)'

The number of analysts covering a stock can vary widely. While widely held blue chips may be covered by as many as 30 to 40 analysts, small companies that are not well-known may only be covered by one or two analysts. An analyst who stops covering a stock will generally issue a "discontinuing coverage" report.

  1. Common Stock Equivalent

    Securities such as stock options, warrants, preferred bonds, ...
  2. Coverage Initiated

    When a brokerage or analyst issues his or her first rating on ...
  3. Chartered Financial Analyst - CFA

    A professional designation given by the CFA Institute (formerly ...
  4. Broker

    1. An individual or firm that charges a fee or commission for ...
  5. Insider Trading

    The buying or selling of a security by someone who has access ...
  6. Analyst

    A financial professional who has expertise in evaluating investments ...
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