Stock Pick


DEFINITION of 'Stock Pick'

A situation in which an analyst or investor uses a systematic form of analysis to conclude that a particular stock will make a good investment and, therefore, should be added to his or her portfolio. The position can be either long or short and will depend on the analyst or investor's outlook for the particular stock's price.


Stock picking can be a very difficult process because there is never a foolproof way to determine what a stock's price will do in the future. However, by examining numerous factors, an investor may be able to get a better sense of future stock prices than by relying on guesswork. Because forecasting is not an exact science, an investor or analyst who uses any forecasting technique should include a margin of error in the calculations.

  1. Position

    The amount of a security either owned (which constitutes a long ...
  2. Forecasting

    The use of historic data to determine the direction of future ...
  3. Long (or Long Position)

    1. The buying of a security such as a stock, commodity or currency, ...
  4. 10-K

    A comprehensive summary report of a company's performance that ...
  5. SEC Form 10-Q

    A comprehensive report of a company's performance that must be ...
  6. Analyst

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