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We examine recommendation informativeness of analysts affiliated with brokerage firms having venture capital ownership in initial public offerings (IPOs) before and after the IPO lockup expiration in a difference in differences design. Affiliated analyst recommendations yield larger absolute abnormal returns than unaffiliated analyst recommendations during the lockup period, especially for stocks with greater information asymmetry. The difference disappears after lockup expirations when venture capitalists generally sell or distribute their holdings. The results suggest that, despite potential conflicts of interest, combining venture capital investment and analyst coverage enhances credibility for affiliated analysts and benefits IPO issuers and public investors.