Investor Sues Blodget

from the bringing-down-the-analysts dept

Henry Blodget has been one of the biggest "hype 'em up" dot com analysts around. He made his name famous by predicting a huge increase in Amazon which came true only because he said so. It's funny, but Henry's been kinda quiet recently. However, now someone is suing him. They're claiming that he kept a "buy" rating on a certain stock because he knew it was involved in a transaction that would make his firm money. If he had changed the rating, it would have jeopardized the deal. He, of course, claims that the charges are baseless. I think this story contrasts well with the 15-year-old who got in trouble for pump and dump schemes. It's not clear that Blodget an the kid are all that different.