Despite the extensive research pointing to the fundamental link between intellectual capital and organisational success, various studies have noted that sell-side analysts and other capital market participants are somewhat ambivalent to information about IC. Through a semistructured interview approach, we explore the use of intellectual capital (IC) information in the conduct of analyst research, and how this vital information impacts sell-side analysts’ decision processes. The study finds that analysts use intellectual capital information to form their perceptions about the overall quality, strength and future prospects of the companies they analyse. These perceptions then provide a basis upon which analysts adjust their valuation models to reflect subjective assessments on risk, company growth and relative performance. We believe the study's findings are important for increasing our understanding of the valuation practices of financial analysts.