I've been assigned a small-cap industrial company as a pitch for an equity research interview tomorrow. I was hoping that something would happen to move the stock price one way or the other but the way I've calculated it, I have around 1% upside in the stock, and the earnings calls don't get me excited enough to pitch it as a buy. Investor sentiment is also mixed. Zacks says sell, FactSet consensus says buy.
Since I was assigned the stock, is it ok to pitch it as a hold? Or is that a huge no-no in equity research interviews?
Alternatively, I could always make it a 2-pronged pitch where I say something along the lines of "buy if you have an appetite for risk, hold if you are risk-averse"
sell side doesn’t get paid for neutral ratings. it’s either a buy or a sell. sounds like you don’t see any upside so why not pitch a sell and recommend some other names in the sector you like better
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