Several investment banks urged caution as stocks continued to rise despite the deteriorating economic backdrop. Morgan Stanley earlier this month forecast a 10% drop in European markets this summer. The Wall Street bank’s chief strategist even warned that there were “signs of panic buying” among investors. Subsequently, UBS said in a June 6 report titled “Don’t Get Fooled by the Latest Tech Rally” that hedge funds had begun selling $20 billion to $30 billion worth of global equities. Wells Fargo’s head of global market strategy also sounded a warning, saying “the market is too complacent” at current levels. To do this, CNBC Pro screened over 3,330 large and mid-cap global stocks that belong to the FTSE All World Index ex-US and identified the 13 most bearish by analysts. Sophisticated investors often look to earn investment income by short selling stocks that are expected to decline. Short selling is the practice of borrowing stock and selling it, with the plan to buy it back cheaper and profit from the difference. This is a common strategy among hedge funds. The table below shows global stocks covered by at least 10 analysts with no Buy, Overweight or Outperform ratings. Vodafone Idea India-listed Vodafone Idea is the least popular stock in the table above. Most of the 14 analysts covering the stock have sell, underweight or underperform ratings, with an average price target down 30% from current levels, according to FactSet. The telecom operator has reported massive subscriber losses to local upstart Reliance Jio over the years, which analysts say is due to overpricing, lack of investment and poor strategy. Now, Vodafone Idea has been unable to raise the investment capital it needs as rivals transition to the new 5G network standard. JPMorgan analyst Ankur Rudra said in a note to clients on May 28 that Vodafone Idea “continues to work towards completing the fundraising that will be critical to driving 5G and 4G capex and repaying supplier dues”. He has an Underweight rating on the stock. “In our view, the delay in 5G capex will put IDEA at a disadvantage compared to peers that have already started rolling out 5G services. , financing remains critical,” Rudra added. The company’s shares are down nearly 20% this year. Taiwan-based laptop and PC maker Acer has the most potential downside in the table above, with a 31% drop from analysts’ expectations for current prices, according to targets compiled by FactSet. However, unlike Vodafone Idea, the downside risk is largely due to the stock’s recent rally towards all-time highs. The company’s management told investors last month that the downturn in computer sales was over in the first quarter of the year. Morgan Stanley analysts agree and expect the company to see early signs of a pick-up in new orders. Morgan Stanley analyst Howard Kao said in a note to clients on May 16: “Acer’s inventory digestion will normalize later (in the second quarter), but management says visibility into 2024 remains unclear.” Clear – too early to comment.” – Weight or Hold rating on the stock. — CNBC’s Michael Bloom contributed to this report.