Avid Bioservices Inc (CDMO)

[biopharm]

Fidelity can't find enough shares if they were making calls... right ? So whats the next best thing.... hopefully one of their Research Firms associated with their website places a downgrade on that same stock : ) "Some" may look at a downgrade and say.... well its time to sell. Well I say its time to "downgrade" Columbine Capital : ) and just look a little deeper... just as needing to look behind every author that writes a negative article.

Many may not even see this alert... unless you are with Fidelity which sent out the alert tonight and was it not Fidelity looking for PPHM shares? ? ? ? Make sure you look at the "Methodology" of how Columbine Capital reached this point to downgrade PPHM because it was not by an analyst. but rather by a "Quantitative Model-Driven Methodology"

http://research2.fidelity.com/fidelity/research/reports/release2/Research/ColumbineCapitalServices.asp

The following descriptions are provided at the fidelity website referencing Columbine Capital and how their "Quantitative Model-Driven Methodology" is based:

Quantitative Model-Driven Methodology

Firms that take a model-driven approach use quantitative models that process company financial data and market information (stock price and volume) to drive recommendations. Models are generally built and fine-tuned over a period of many years through a rigorous analytic process. Quantitative models are not subject to influence or interference from outside sources, so they are objective in that respect. They impose discipline and consistency on the research firm.

Because much of the analytical work is performed by computers, these firms are often able to cover a broader range of stocks, as well as update their recommendations more frequently based on company financial changes or market changes. There are many types of models in use by firms that may generate differing recommendations.

Analyst-Driven Methodology

Firms that take an analyst-driven approach have experts review market conditions and data as well as company information to create a recommendation. Typically, research firms have an approach or model that they use as a starting point for analysis to ensure a degree of consistency across multiple analysts.

The advantage of following a firm that has analyst-driven research is in the flexibility and insight that an individual can bring to the analysis. Critical market news or other developments that might be important to the future price of a stock generally won't be included in pure quantitative models. For example, consider a pharmaceutical company that has a critical drug review pending with the FDA. An analyst would typically review and discuss the potential impact of that upcoming drug and include that analysis in making a recommendation. Finally, another reason people use analyst-driven research is for the quality of the writing and insight that only a person can really bring to this work.