DEFINITION of 'Average Qualitative Opinion - AQO'

A number that summarizes investment analysts' ratings for a particular security. The AQO is a way of expressing buy, hold and sell opinions numerically. This numerical rating attempts to encapsulate all of the information contained in an analyst report, including a company's financials, industry financials and the security's target price for the next 12 to 24 months.

BREAKING DOWN 'Average Qualitative Opinion - AQO'

Investment analysts provide their opinions of a security's current market value and the direction it may be headed. Then they recommend that investors take a specific action based on those opinions. Analysts provide a valuable service that saves investors time and provides them with expert insights. However, investors still need to exercise judgment in considering AQOs and other investment research that is aimed at a broad audience and doesn't reflect an individual investor's goals, time horizon or risk tolerance.

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