8 Most Accurate Stock Predictors for 2024

Stock predictors remove the need to research companies or perform independent analysis. The idea is simple; the prediction service will send you tips on which stocks to buy based on their own methodology.

In this guide, we reveal the 8 most accurate stock predictors for 2024. We rank the leading stock prediction services by pricing, past returns, target markets, reputation, and much more.

The Top 8 Stock Predictors Ranked

Here’s a quick overview of the 8 most accurate stock predictor services in the market right now:

  1. AltIndex – We found that AltIndex is the most accurate stock predictor for 2024. Unlike other providers in this space, AltIndex relies on alternative data points, such as social media sentiment and website analytics. It also uses artificial intelligence to convert its findings into risk-averse stock picks. This gives investors the chance to buy top-rated stocks before they explode (and sell before a market selloff). Historically, AltIndex stock recommendations have a 72% win rate, translating to average 6-month gains of 21%. Prices start from just $29/month.
  2. Danelfin – Danelfin is an AI stock predictor that covers thousands of companies from the NYSE and NASDAQ. It also analyzes stocks from the European markets. Danelfin generated growth of 158% between January 2017 and December 2022. In the same period, the S&P 500 grew by 70%. It gives each stock an AI ranking score and sends its top-10 picks to members every day.
  3. Alpha Picks by Seeking Alpha – This stock predictor service has been operational since December 2009. Since then, Alpha Picks has generated average annualized returns of 25%. This is based on its ‘Strong Buy’ recommendations. The service, which costs $199 per year ($99 in the first year), offers two stock picks every month.
  4. Zacks Ultimate  – Zacks Ultimate is an established stock predictor service that is aimed at professional investors. Or at least those with a substantial amount of capital – the service costs $299 per month. That said, Zacks Ultimate has generated average annualized returns of 24.3% since inception. This is impressive considering that the service was first launched in 1988.
  5. The Street Premium – The Street is popular for its high-level stock market news and insights. Its premium plan offers daily stock picks, curated by its in-house portfolio managers. This includes Jim Cramer, host of the popular CNBC show Mad Money. The Street Premium also comes with daily market commentary, so you’ll never be more than a click away from an industry expert.
  6. Candlestick.ai – This stock predictor service also uses AI. Candlestick.ai is a mobile-based service, available on iOS and Android devices. For $9.99, you’ll get real-time recommendations telling you exactly which stocks to buy or sell. Candlestick.ai generated returns of 23% in 2022. Results for 2023 are yet to be published.
  7. Kavout – Kavout is an established stock predictor service that specializes in machine learning insights. It has one primary goal – to outperform the broader stock market for its clients. There are two portfolios to choose from. The medium-risk portfolio has generated average annualized returns of 23.4% since January 2020. The lower-risk portfolio has returned 12.4% per year over the same period. There is a minimum investment of $100,000.
  8. MorningStar – If you’re looking for a stock predictor service that comes with high-level research and insights, consider MorningStar. This reputable stock research platform offers a premium account that comes packed with features. This includes independent ratings on thousands of stocks from the US and international markets. It also offers a stock screener with over 200 data points, such as the market, industry, and rating.

Most Accurate Stock Predictors Reviewed

Let’s take a closer look at the most accurate stock predictors on the market in 2024 paying close attention to key metrics such as win rates, subscription fees, supported assets and more.

1. AltIndex – Overall Most Accurate Stock Predictor with Claimed 72% Win Rate 

From our research, AltIndex is the most accurate stock predictor to consider today. Unlike other predictor services, AltIndex doesn’t rely on manual research or analysis.

On the contrary, AltIndex leverages the power of alternative data and artificial intelligence. Historically, its methodology has returned a win rate of 72%. More on this shortly. Let’s explore how its methodology works so you can understand the core concepts.

First and foremost, AltIndex uses natural language processing to extract data from social media and websites. It then uses machine learning technology to package the collected data into useful insights. This is to achieve a common goal – to assess broader market sentiment on thousands of stocks. For example, suppose Apple has just released its much-anticipated iPhone model.

AltIndex review

The stock price of Apple is heavily correlated to iPhone sales. But these figures are released to the public before Apple’s quarterly earnings report.

But through social sentiment analysis, AltIndex can get a solid idea of how the iPhone release is viewed by the general public. For instance, it can look at social media comments, likes, shares, and mentions. It can also scan news articles and extract website analytics.

Once the data has been collected, AltIndex will use artificial intelligence to generate a ranking score. Stocks with a high score are more likely to outperform the broader market, as per the AltIndex methodology.

While its stock predictor methodology is highly advanced, no prior experience is needed. On the contrary, AltIndex sends stock picks to premium members via email.

AltIndex review

As such, you simply need to buy or sell the stocks, as recommended. In terms of performance, AltIndex publishes trading results six months after they are initially sent to members. Nonetheless, it claims to have a 6-month average return of 21%.

This is more than four times the historical average of the S&P 500. Its most recent filing shows that in February 2023, it issued 16 stock selections with a 69% win rate. This converted to a huge positive return of 27%.

Not only is AltIndex the most accurate stock predictor right now, but it’s also one of the most affordable. The starter plan costs just $29 per month. This limits users to 10 monthly stock picks.

To increase this to 50 monthly picks, the pro plan is required at $99 per month. There is also a free plan, allowing you to try the service risk-free. This is capped to 2 monthly stock picks. Finally, AltIndex also covers the best cryptocurrencies, such as Bitcoin, Ethereum, and Dogecoin.

Methodology  Past performance Price
Extracts alternative data from social media and website analytics. it then generates a rating score via artificial intelligence. Stock alerts are sent via email. Historical win rate of 72%. This converts to 6-month average returns of 21%. The starter ($29/month) and pro ($99/month) plans offer up to 10/50 stock alerts each month, respectively. The free plan is limited to just 2 monthly alerts.

Pros pros

  • From our research, one of the best stock picking services for 2024
  • Historical win rate of 72%, averaging 6-month returns of 21%
  • Stock picks are based on alternative data and generated via artificial intelligence
  • Plans start from $29 per month – so very affordable
  • Also covers the best cryptocurrencies to trade

Cons cons

  • The free plan is limited to just 2 monthly stock alerts

2. Danelfin – Real-Time Stock Trading Alerts From In-House Portfolio Managers 

If you’re looking for an AI stock market predictor, consider Danelfin. The platform not only focuses on US-listed stocks but ETFs too. Moreover, Danelfin also covers popular stocks from the European markets. Its methodology focuses on three core segments. 600+ technical indicators, 150+ fundamental insights, and 150+ social sentiment metrics.

After collecting data on a daily basis, its AI-driven algorithm generates a ranking score. Ranking scores are between 1 and 10. Stocks with the highest score have a greater probability of beating the market within the next 60 days. For example, a ranking score of 10 is considered a ‘Strong Buy’.

Danelfin review

And conversely, stocks with a low ranking score are likely to decline in value, as per Danelfin’s methodology. You can manually review its AI ranking scores on the Danelfin website. Alternatively, registered users will receive a daily newsletter with their top-10 picks. By upgrading to the Plus plan, you’ll get unlimited stock and ETF rankings.

The pro plan, at $49 per month, includes unlimited trade ideas and an individual breakdown of technical, fundamental, and sentiment metrics. When it comes to past performance, Danelfin’s stock chart predictor generated gains of 158% between January 2017 and December 2022. Figures for 2023 are yet to be released.

Stock picking service Past performance Price
Uses explainable artificial intelligence to assign a ranking score to US and European stocks. Users can view stocks based on the AI scoring system and invest accordingly. Daily newsletters contain the top-10 picks. 158% between January 2017 and December 2022 The free plan offers limited stock rankings. The Plus and Pro plans cost $17 and $49, respectively.

Pros pros

  • User-friendly stock predictor service backed by AI ranking scores
  • Returns of 158% between January 2017 and December 2022
  • Free plan offers access to the daily newsletter
  • Covers thousands of US and European stocks

Cons cons

  • Does not provide any returns for 2023

3. Alpha Picks by Seeking Alpha – 25% Average Annualized Returns Since 2009

Alpha Picks by Seeking Alpha is also one of the most accurate stock predictors to consider today.  This service is aimed at long-term investors who are happy to hold onto their investments for several years if needed. That said, if a stock remains a ‘Hold’ for more than six months, then it is changed to a ‘Sell’. At this stage, members are advised to offload the stock from their portfolio.

Its stock recommendations are curated by a team of in-house analysts. They consider a broad range of metrics, such as current valuations, profitability, and the overall fundamentals of the company. Every month, Alpha Picks members receive two new stock selections. Members also receive regular updates on current holdings, alongside up-to-date performance figures.

Alpha Picks by Seeking Alpha

To get the most out of Alpha Picks, members are advised to follow their recommendations to the ‘t’. In terms of performance, Alpha Picks has averaged annualized returns of 25% since its inception. The stock picking service was first launched in December 2009, so these figures are impressive. However, there are some chinks in the armor that should be explored.

First, the averaged annualized returns of 25% are only based on ‘Strong Buy’ recommendations. Second, the service was launched toward the bottom of the 2008 stock market recession. As such, it entered the market at highly favorable pricing. Nonetheless, Alpha Picks charges $199 per year, which offers good value. Moreover, this is reduced to $99 for the first year.

Methodology  Past performance Price
A team of in-house analysts picks stocks based on the fundamentals of a company, such as profitability and current valuations. Two new stock picks are sent each month. Averaged annualized returns of 25% since its inception in December 2009. This is based on ‘Strong Buy’ recommendations only. $99 per year for new subscribers. Increases to $199 after the first year.

Pros pros

  • Established stock predictor service that was incepted in December 2009
  • Average annualized returns of 25% since inception
  • Two new stock alerts are sent each month
  • Ideal for long-term buy-and-hold investors

Cons cons

  • Does not offer flexible monthly plans
  • Stated returns are only based on ‘Strong Buys’

4. Zacks Ultimate – 24.3% Average Annual Growth Since 1988 – But Expensive at $299/Month

Zacks Ultimate has proven itself as one of the most accurate stock predictors for more than three decades. Incepted in 1988, this established service has produced phenomenal returns for its members. In fact, since 1998, Zacks Ultimate has generated average annualized returns of 24.3%. This more than doubles the average performance of the S&P 500.

That being said, there are some important considerations to mention. First and foremost, Zacks Ultimate is aimed at experienced investors who have the time to actively buy and sell stocks. It sends an unparalleled amount of information and to align with its historical returns, you’ll need to follow each recommendation.

Zacks Ultimate

For example, it has more than a dozen divisions, each targeting a specific segment of the stock market. This includes everything from small and large caps to value and blockchain stocks. In addition, some of the stock predictions sent by Zacks Ultimate are short-term positions. So you’ll need to be ready to enter and exit the market at their recommended price points.

Moreover, Zacks Ultimate won’t be suitable if you’re looking to invest small amounts. It charges $299 per month, which will be out of reach for most. There is a slight discount when paying annually, At $2,995, this brings the monthly cost down to $249. However, even then, you’ll need to consider the rate of return, based on how much you intend to invest each month.

Methodology Past performance Price
Professional stock picking service that also covers multiple niches, such as value stocks, blockchain stocks, and short-term stocks. Lots of information is provided to members, so you’ll need to actively follow its recommendations. Average annualized gains of 24.3% since 1988. $299 per month or $2,995 annually

Pros pros

  • The most accurate stock predictor service for professional investors
  • Average annual returns of 24.3% since 1988
  • 30-day trial for just $1
  • More than a dozen stock niches included

Cons cons

  • Costs $299 per month or $2,995 annually
  • You’ll need to invest a large amount to make the service worthwhile

5. The Street Premium – Real-Time Stock Trading Alerts From In-House Portfolio Managers 

The Street is a popular financial news and market analysis that was founded in 1996. It’s backed by Jim Cramer, the popular stock host from CNBC’s Mad Money. Although The Street offers free insights, you’ll need a premium account to access its stock predictor service. There are two plans to choose from. First, there’s the Real Money plan. This costs $249.99 per year.

It includes a daily analysis of the stock market, provided by over 30 Wall Street analysts. It also includes daily stock recommendations, alongside useful data on why they stand out. The other, slightly cheaper option is the Action Alerts plan. This costs $199.99 per year and comes with real-time stock trade alerts.

The Street Premium

This will advise you which stock to buy or sell, provided by the team of in-house portfolio managers. It also offers 24/7 access to the Street’s personal portfolio, including each individual position. You’ll also get a members-only call with the portfolio team once per month. While there is also a basic plan for just $39.99, this doesn’t include any stock predictions.

Unlike other stock predictor services, the Street doesn’t publish any historical returns. This is a major drawback, as it’s difficult to know whether or not its service is profitable. That said, there is a risk-free 14-day trial available on all plans. This at the very least allows you to try the service out to see what sort of picks you’ll be receiving.

Methodology  Past performance Price
Stock picks curated from experienced market analysts – including Jim Cramer. The Action Alerts plan comes with investing tips and real-time signals. The Real Money plan offers daily stock picks from Wall Street experts and real-time market commentary. Not published The action alerts and real money plans cost $199 and $299 annually, respectively.

Pros pros

  • Established in 1996 and backed by Jim Cramer
  • 24/7 access to the Street’s personal portfolio
  • Monthly calls with the in-house portfolio team
  • Depending on the plan – receive real-time alerts and daily stock picks

Cons cons

  • Historical win rates are not published
  • Only suitable if you’re trading on US stock market hours

6. Candlestick.ai – Mobile-Based Stock Predictor With 23% Gains in 2022  

Candlestick.ai is one of the best stock market predictors for mobile users. It offers a mobile-only service, available as an iOS or Android app. Although the app is free to download, you’ll need to pay $9.99 per month to receive its stock picks. This offers good value for those exploring predictor services for the first time.

In fact, Candlestick.ai claims that its stock recommendations made 23% gains in 2022. This is notable, considering that the S&P 500 finished the year at a loss. The Candlestick.ai app is user-friendly and no prior experience is needed. You will be provided with the suggested entry price for each recommendation, which comes as a push notification.

Candlestick.ai review

You will also receive regular updates from Candlestick.ai on outstanding picks. In terms of markets, Candlestick.ai tracks over 6,000 stocks from US exchanges. In the future, Candlestick.ai will be releasing an AI-driven advisor. This will help users find their own stock recommendations, based on their financial goals and risk tolerance.

Moreover, the AI advisor will help explain key fundamentals and interpret company earnings reports. There are, however, some drawbacks to consider. First, Candlestick.ai does not provide any data on its 2023 stock picks.

This makes it difficult to know if the service is still profitable. Moreover, Candlestick.ai doesn’t offer any guidance on its methodology. This means that you won’t know how it generates its stock recommendations.

Methodology Past performance Price
Its methodology isn’t revealed, but stock recommendations are generated by AI nonetheless. Three AI stock picks are sent each week. App notifications are sent once a new stock pick is ready. 23% growth in 2022. $9.99 per month.

Pros pros

  • Top-rated stock app for iOS and Android
  • Sends a mobile alert when it finds a stock recommendation
  • Competitive pricing at just $9.99 per month
  • 23% gains in 2022

Cons cons

  • Doesn’t provide results for 2023
  • No explanation of its methodology

7. Kavout – Managed Stock Predictor Service Backed by Machine Learning Insights 

Kavout is one of the most accurate stock predictors for passive investors. It’s a fully managed service, so you won’t need to manually buy or sell any of its recommended picks. Its methodology is focused on machine learning insights. It has developed proprietary software that extracts and analyzes over 1,000 data points. This includes both technical and fundamental metrics.

This established provider was founded in 2016 and it aims to outperform the broader stock market for its clients. You’ll have two portfolios to choose from, depending on your risk tolerance. The low-risk portfolio has generated average annualized returns of 12.4% since January 2020. Over the same period, the SPY index fund grew by 9.8%.

Kavout review

The medium-risk portfolio has performed even better, generating average annualized returns of 23.4%. We like that Kavout updates its performance metrics regularly, on a month-by-month basis. However, the main drawback is the minimum investment requirement. Across both portfolios, you’ll need to invest at least $100,000.

Methodology  Past performance Price
Professional investment management service based on machine learning insights. Extracts and analyzes over 1,000 data points, including technical and fundamental analysis. Fully managed service, so you won’t need to manually trade its recommendations. Average annualized gains of between 12.4% and 23.4%, depending on the chosen strategy. Management fees are not displayed on its website. Contact Kavout for a quote.

Pros pros

  • Managed stock predictor service offering a completely passive investment process
  • Average annualized gains of up to 23.4% since January 2020
  • Stock picks are generated from machine learning insights
  • Established in 2016

Cons cons

  • Both portfolios require a minimum investment of $100,000
  • Management fees are not made public

8. MorningStar – Independent Ratings on Thousands of Stocks and High-Level Research Reports 

MorningStar is a reputable stock research platform that also covers bonds, funds, and other assets. Its premium account will appeal to investors who want access to high-level insights, data, and stock recommendations. It offers a rating score across thousands of assets – not only in the US but overseas. We like that MorningStar allows you to focus on your preferred stock type.

For example, value stocks, cheap stocks, blue-chip stocks, or growth stocks. In fact, its premium members have access to a stock screener with over 200 data points. This includes the stock type, market, industry, and rating. Its rating methodology is focused on the fundamentals. For instance, earnings reports, market growth, and industry comparisons.

MorningStar Investor

Each stock rating comes with a full analysis, explaining why it believes the company is a buy or sell. This ensures that you have a firm understanding of each recommendation before placing the order with your broker. You will also have access to news developments and market updates, alongside real-time pricing on thousands of markets.

That said, unlike other stock predictors, you won’t receive alerts on which investments to make. You will need to make investment decisions after manually reviewing its ratings and analysis. In terms of pricing, you’ll pay $34.95 per month. This can be canceled at any time and there is also a free trial. Alternatively, you can pay $249 for the year, which reduces the monthly cost by 41%.

Methodology  Past performance Price
Fundamental research methodology by a team of in-house analysts. Provides ratings on thousands of stocks, bonds, funds, and other assets. Ratings of 5 suggest a ‘Strong Buy’. Not published $34.95 per month or $249 annually.

Pros pros

  • Reputable stock research platform that also covers other popular assets
  • Ratings of 1-5 on thousands of stocks
  • Niche down to your preferred industry – such as growth stocks or foreign stocks
  • All ratings come with independent research reports

Cons cons

  • You will need to manually review its ratings and pick your own stocks
  • Does not send out alerts

What is a Stock Predictor?

Stock predictors help investors choose suitable companies to invest in. Many users pair stock predictors with the best stock portfolio trackers to help keep their investments in check. There are many different types of stock predictors, but most provide specific instructions on which stocks to buy.

This will appeal to investors who don’t have the time to independently research the markets. Stock predictor services are also popular with inexperienced investors.

After all, there isn’t a requirement to understand stock trading concepts, fundamental research, or technical analysis. Instead, the process simply requires you to follow the recommendations sent by the respective stock predictor.

Most services send their stock picks via email. The methodology of a stock predictor service will vary widely. This refers to the research methods used by the provider to reach their recommendations.

For example, AltIndex uses alternative data and social sentiment analysis. It collects data from social media platforms like Reddit, Twitter, and Facebook, as well as news articles and website analytics. It then generates sentiment scores via artificial intelligence, which determines the hottest stocks to buy. In other words, AltIndex is entirely data-driven.

In contrast, many stock predictor services take a traditional approach. They’ll have a team of in-house analysts who manually research companies, such as valuations, quarterly earnings, and industry comparisons.

The analysts will then determine which stocks to buy or sell, based on their independent findings. Ultimately, if you’re going to pay for a stock predictor service, make sure it has a track record of outperforming the market. Otherwise, you’ll be better off investing directly in index funds.

How do Stock Market Predictors Work?

Let’s explore how stock market predictors operate in 2024:

Quick Overview of How Stock Predictor Services Operate:

  • You will first need to choose a stock predictor service that aligns with your goals. We explain how to choose a stock predictor further down in this guide.
  • Next, you’ll need to sign up for one of its plans. This is usually a monthly subscription, but some providers require you to pay for a full year.
  • Once the stock predictor service has a new recommendation you will receive an email alert. The recommendation should tell you which stock to buy. It might also come with a suggested purchase price.
  • You will then need to buy the recommended stock at your preferred broker.

Although there are many different types of stock market predictors to choose from, there is a standardized process used by most.

Let’s take a closer look at how stock predictors work.

Data Collection

All stock predictors require data to make an informed decision. Otherwise, they wouldn’t have any information to base their recommendations on.

Depending on the stock predictor service you opt for, this might include:

  • Fundamental Data: Some stock predictors specialize in fundamental data. This research area focuses on the performance of the company itself. For example, it will collect data from the firm’s quarterly earnings, looking at metrics like revenue, cost of sales, and profit margins. It will also explore the balance sheet, extracting key factors like debt and cash flow levels.
  • Technical Data: Stock predictor services that are involved in short-term trading picks will usually collect technical data. This method is exclusively focused on the price of the stock. For example, it will extract current and historical prices, alongside technical readings like the RSI and MACD.
  • Social Sentiment Data: A rather new entry to the stock selection process is social sentiment analysis. This method extracts data from social media networks like Facebook and Twitter. Social analysis requires advanced tools, such as natural language processing and machine learning. After all, there are likely billions of data points to consider at any given time.
  • Macroeconomic Data: Some providers will also extract macroeconomic data. This enables the provider to assess how a stock might perform based on broader market conditions. For example, interest rates, employment levels, or inflation figures.

Do note that some providers use multiple data metrics. For example, they might collect fundamental and technical data to provide a broader outlook on the stock.

Data Analysis

Irrespective of the type of data collected, stock predictor services will need to analyze it. This can be done in one of two ways.

As noted earlier, some providers will manually analyze the data. For example, comparing a stock’s quarterly performance with previous periods. Or making a comparison with the broader industry.

AltIndex data on Meta Platforms

Some providers automate the data analysis process. This is especially the case when dealing with significant amounts of data from social media and website analytics. For example, AltIndex uses natural language processing to extract and package data from social media, and machine learning to analyze it.

Stock Recommendations

Once the stock predictor service has collected and analyzed the data, it will look for suitable recommendations. The idea is to select a stock that has the potential to outperform the wider market.

For example, let’s say that the analyst is researching Meta Platforms stock. They notice that while border advertising spend in the industry is down, Meta Platforms saw an increase during the period. Considering that advertising is the firm’s biggest revenue source, the predictor service suggests buying the stock.

In another example, let’s suppose that AltIndex collects social sentiment data on Netflix stock. The analysis process shows that there is increased sentiment on Netflix. This is due to the popularity surrounding some of its latest content releases. AltIndex also notices that there are increased visits to the Netflix website. As such, its AI-driven metrics rate Netflix a ‘Strong Buy’.

As a member, you will receive stock recommendations as soon as they are posted by the provider. This is usually via email, but can also come through SMS or Telegram. You will then need to buy or sell the stock, based on the recommendation. Some recommendations will come with a suggested entry and exit price, which helps with risk management.

Types of Stock Predictors

We briefly mentioned earlier that there are different types of stock predictors to choose from. Let’s take a closer look at what your options are when selecting a provider.

Alternative Data and Social Sentiment

We found that the most accurate stock predictor services are often backed by alternative data and social sentiment.

This unique methodology is completely different from fundamental and technical analysis, as it looks at data that isn’t readily available in the public domain. Put otherwise, most stock predictor services use the same data as the broader markets. For instance, earnings reports or news articles.

In contrast, alternative data providers like AltIndex look to get an edge in the market. This means identifying trends and insights before anyone else. AltIndex looks at a significant range of data points to achieve this goal.

AltIndex stock picks

On social networks, for example, it will extract comments, mentions, likes, shares, and other useful data. This provides an overview of how society feels about a particular company. If it’s positive, this could mean that its stock could be able to enter a bullish run. But if sentiment is overly negative, the stock could see a decline.

In addition, AltIndex also looks at website analytics. For example, if an internet-centric stock (e.g. Amazon or Etsy) is receiving an increase in daily website visits, this could signal that more people are buying products. In turn, this will positively impact its revenues.

Another area that AltIndex looks at is job posting. The idea is that companies hiring more people are likely looking to expand. This shows that the company is in a strong financial position, as it’s able to spend more money on salaries.

Value Investing for Long-Term Holdings

Traditional stock predictors will focus on value investing. This means that the provider will look for stocks that are trading below their perceived intrinsic value.

In most cases, this type of stock predictor service is aimed at long-term investors. Meaning – you’ll need to be prepared to hold onto the recommended stocks for several years.

  • The stock predictor will usually have a team of in-house analysts.
  • They are responsible for researching companies and the broader markets.
  • The aim is to find suitable stock recommendations for their paying customers.
  • Alpha Picks by Seeking Alpha, for example, sends out two new stock picks every month.
  • It also keeps members updated on recommendations that are still in play.
  • This service doesn’t require a lot of input from members, as they only need to place a couple of trades each month.

On the flip side, members of the Street Premium need to be a lot more active. This is because its stock predictor service sends out daily recommendations. So if you opt for this service, you’ll need to have the time to manually place orders every day. This won’t be suitable for all investors.

Quantitative Predictors for Short-Term Trading

Some of the most accurate stock predictors focus on quantitative methods.  The strategy relies on mathematical and statistical principles, which are almost entirely price-driven. This method can be both manual and automated.

For example, some stock predictor services use chart analysts to find suitable picks. This means that recommendations are based on technical readings, such as the RSI, MACD, Moving Averages, or Bollinger Bands. The analysts will make price predictions based on these findings.

Kavout machine learning insights

Alternatively, some services will use algorithms to extract and analyze technical data. Either way, quantitative-driven stock picks are aimed at short-term trading positions. This could mean entering a position and closing it within a few hours. Once again, this will require you to actively buy and sell stocks.

Automated Bots

You will also come across automated bot services when searching for the most accurate stock predictors. Not only do bots research the markets autonomously but they also place buy and sell orders on your behalf. This is usually executed through a third-party trading suite, such as MT4 or cTrader.

Each bot will be preprogrammed with a specific strategy. For instance, it might buy stocks based on the MACD and RSI readings. Alternatively, it might invest in stocks based on trading volumes and market capitalization. Either way, automated bots can only meet the conditions they have been programmed to follow. This means that automated bots are very risky.

For instance, suppose it buys Microsoft stock based on a low RSI reading. This suggests that the stock is oversold and could be about to reverse. However, the automated bot won’t know that Microsoft has just published worse-than-expected quarterly earnings. As such, the RSI reading is superseded by fundamental news, which it won’t have access to.

Benefits of Stock Predictors

Let’s take a closer look at the benefits of using a stock predictor service.

Expert Insights

If you’re a complete beginner in the stock trading space, you’ll struggle to outperform the market consistently. In fact, most beginners lose money when picking their own stocks. If this sounds like you, consider using a stock predictor service.

Many leading providers have a team of in-house analysts with years of experience. They know exactly what to look for when researching and recommending stocks. Not only from a fundamental standpoint but technical analysis too.

For example, Zacks Ultimate has been offering stock predictor services for more than three decades. It has proven experience, considering its generated average annualized gains of over 24% since 1988.

Reap the Benefits of Advanced Technologies 

Some of the most accurate stock predictors leverage advanced technologies when generating recommended buys or sells. AltIndex is a good example here. It specializes in alternative data and provides insights on social sentiment and other key metrics.

AltIndex review

For instance, it uses natural language processing, machine learning, and artificial intelligence to analyze data from social media. It then generates a ranking score from 1-100. Its methodology is completely data-driven, meaning there isn’t any subjectivity when making stock recommendations.

Crucially, you wouldn’t be able to replicate AltIndex’s processes manually. After all, it analyzes billions of data points around the clock. Moreover, AltIndex has a proven track record – its stock recommendations have a 72% win rate since inception.

Save Time and Invest Passively 

Another benefit of stock predictor services is that they will save you heaps of time. You won’t need to research company earnings reports, stock prices, or news articles. Let alone analyze charts and technical indicators.

The best stock predictors tell you exactly what companies to invest in. You will receive an alert when a new recommendation is posted. All you need to do is log into your brokerage account and buy the respective stock.

Ideal if you Want to Outperform the Market  

The term ‘outperform the market’ means making higher returns than a stock benchmark index. This is usually based on the S&P 500. For example, suppose the S&P 500 makes average annualized returns of 10% over the next five years. If you wanted to replicate this, you could simply invest in an S&P 500 ETF.

However, stock predictors will look to make higher gains than the S&P 500. For example, AltIndex has a 6-month rolling average of 21% – which far outperforms the broader market. This is also the case with Alpha Picks, which has returned 25% annually since 2009.

S&P 500 chart

That being said, there is no guarantee that your chosen stock predictor will outperform the market. Nor any guarantees that you will make money. As such, you’ll need to think about your financial goals and how much risk you are willing to take to achieve them.

Many Stock Predictors are Affordable  

While some stock predictors are aimed at professional investors, others offer affordable prices. For example, AltIndex plans start from just $29 per month. This gets you up to 10 stock alerts each month. At $99 per month, you can increase this to 50 stock alerts. Either way, this offers great value based on AltIndex’s historical returns.

On the flip side, you’ve also got providers like Zacks Ultimate. This stock predictor service charges $249 per month. Even if this is within your price range, you’ll need to consider the rate of return on your investment. We will discuss this in more detail shortly.

How to Pick the Right Stock Predictor for You

We have established that there are many different types of stock predictors in the market. Each will have its own methodology, strategy, and target returns. Moreover, you’ll also need to consider pricing and the rate of return on your subscription investment.

In this section, we explore what to look for when selecting the right stock predictor for you.

Type of Stock Recommendations  

You’ll first need to assess what type of stock recommendations you want to receive.

For example, are you looking for a fully automated service that tells you exactly what stocks to buy and sell? If so, AltIndex is a great option, as you’ll receive email alerts when a new stock pick has been generated.

Alternatively, are you looking for stock predictions that also come with high-level research? The Street Premium might be more suitable. In addition to stock picks, you’ll receive expert analysis and market insights.

Some investors prefer to take a more hands-on approach when making investment decisions – rather than relying solely on third-party advice. In this instance, you might want to consider MorningStar.

This provider offers stock ratings on thousands of companies, alongside research reports and insights. This can point you in the right direction when deciding which stocks to buy.

Past Performance and Recent Results   

It’s crucial to assess the performance of a stock predictor before parting with your money. After all, how will you know if the service is profitable if it doesn’t publish its historical results?

Not only will you need to know its average annualized return since inception, but whether or not this outperforms the broader stock market.

What are Average Annualized Returns?

Most stock predictors display their historical returns as 'average annualized returns'. Here's how it works:

  • Let's say that in year one, the stock predictor makes gains of 25%.
  • In year two, it makes a loss of 10%.
  • In year three, it made gains of 15%.
  • To get the average annualized return, you'll need to add the three figures together and divide it by three. (25% - 10% +15% / 3 years).
  • In this example, the stock predictor has made average annualized returns of 10%.
  • You would then need to compare this to the S&P 500 to assess whether or not the stock predictor has outperformed the broader market.

If the stock predictor has made lower returns than the S&P 500, then it doesn't make sense to pay for its recommendations.

The most accurate stock predictors, including AltIndex, Alpha Picks, and Zacks Research, have outperformed the S&P 500 since their services were launched.

Target Markets   

When choosing the best stock predictor for your financial goals, consider the market that you want to target.

For example, some services will focus on blue-chip stocks with large market capitalization. While others focus on riskier stocks, such as growth companies or penny shares.

AltIndex stock picks

In addition, most stock predictors focus exclusively on the US markets. If you also want exposure to Europe, Asia, and other financial markets, make sure the stock predictor supports them.

Subscription Fees and Return on Investment    

You'll need to pay fees when signing up for a stock predictor service. In most cases, you'll pay a monthly subscription that can be canceled at any time. You might also be able to pay annually for a discount.

Either way, it's crucial that you consider the return on investment. In other words, what returns will you make after factoring in the monthly subscription fees? To estimate this, you'll need to consider two figures:

  • The monthly subscription fee
  • The historical average annualized returns of the stock predictor

For example:

  • Let's suppose that you sign up for Zacks Ultimate, which costs $299 per month.
  • Since its inception, Zacks Ultimate has averaged annualized returns of 24.3%.
  • We'll then say that you invest $1,000 per month, following all of Zacks Ultimate's recommendations. After one year, you've invested $12,000.
  • Based on an annual return of 24.3%, you've made gains of $2,916. However, you've also paid $3,588 in subscription fees. Therefore, even though your portfolio is up 24.3%, you've actually made a loss.

In contrast, you can receive top-performing stock picks from AltIndex for just $29 per month. This means that AltIndex is a lot more suitable for casual investors.

How Accurate are Stock Price Predictors?

No two stock predictor services are the same, so each will have its own historical results. Moreover, past performance can be given in different ways. For example, most state their results as average annualized returns. In this instance, you’ll want as much historical data as possible.

For instance, Zacks Research’s historical results go back to 1988. In contrast, Candlestick.ai only offers results from 2022. This isn’t a long enough timeframe to assess the profitability of its stock recommendations.

AltIndex does things slightly differently. It provides a win rate percentage based on all of its stock picks since inception. This currently stands at 72%. It also offers returns on a 6-month average basis. This currently stands at 21%.

Regardless of the performance indicator, the most important thing is that the stock predictor generates higher returns than benchmark indexes (e.g. S&P 500).

You also need to factor in the cost of the subscription assessing past performance. Ultimately, not all stock predictors make money, let alone outperform the market.

Conclusion

Stock predictors can help you navigate the markets without needing to do any of the legwork. But choosing the right stock predictor is crucial - especially in terms of past performance and fees.

We found that AltIndex is the overall most accurate stock predictor. It extracts alternative data and social sentiment metrics, before generating stock recommendations based on artificial intelligence.

Since its inception, AltIndex has generated 6-month average returns of 21%. Prices start at just $29 per month.

References

FAQs

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Kane Pepi
Editor

Kane Pepi is an accomplished financial and cryptocurrency writer who has an extensive portfolio of over 2,000 articles, guides, and market insights. With his expertise in specialized subjects such as asset valuation and analysis, portfolio management, and financial crime prevention, Kane has built a reputation for providing clear explanations of complex financial topics. He holds a Bachelor's Degree in Finance and a Master's Degree in Financial Crime, and is currently pursuing his Doctorate degree, which focuses on investigating the complexities of money laundering in the cryptocurrency and blockchain technology sectors. Kane's wealth of knowledge and experience in the field make…