We still don't know who watches the watchmen, but we've learned who analyzes the
analysts, as
Kotaku
takes a look at the accuracy of various predictions by the pundits who advise
investors on the gaming market (thanks
Ant). We'd like to claim credit for the
idea after pointing out some analytical inaccuracies in reporting a recent
analyst-inspired rumor (
story) (which actually turned out to be
accurate (
story)), but these prognostications just scream out for
a little correlation with reality. That turns out to be exactly how much
correlation with reality they have, a little, as the best of these analysts are
right about 60% of the time, with that number inflated by the occasional
no-brainer gem like "price cuts will help PS3 sales." They give highest marks to
Michael Pachter for his 60% success rate and the near-accuracy of some of his
misses (as he says, his business is like horseshoes, where almost counts). In
the end, however, over half subjects of their study are wrong more than half the
time, so if you think your guess is as good as theirs, you may just be right.