Featured Screeners

Screening Filters

1. Market Capitalization ≥ $20,000,000,000 (Large Cap)

   • Purpose: Focus on large, established companies.
   • Rationale:
     • “Featured Screeners” often highlight well-known, stable names rather than small, speculative plays.
     • Large-cap stocks tend to have more analyst coverage, better liquidity, and more predictable financial reporting—important characteristics for a screener intended for broad use.
     • This filter screens out micro/small caps that could be too risky or obscure for a general “featured” list.

2. Net Margin ≥ 12%

   • Purpose: Ensure the companies are meaningfully profitable.
   • Rationale:
     • Net margin measures how much of each dollar of revenue turns into net income; a minimum of 12% is a relatively strong threshold across many sectors.
     • For a featured screener, you usually want financially healthy businesses with proven pricing power and cost control.
     • This removes low-margin or barely profitable firms that may be more vulnerable in downturns.

3. Return on Equity (ROE) ≥ 18%

   • Purpose: Highlight companies that generate high returns on shareholders’ capital.
   • Rationale:
     • ROE shows how efficiently management uses equity to generate profits. 18%+ is a high bar that points to quality businesses.
     • Featured ideas often emphasize “quality factor” characteristics—strong ROE is one of the classic markers.
     • This filter excludes capital-intensive or poorly managed firms that do not convert equity into strong earnings.

4. Annual Revenue YoY Growth ≥ 8%

   • Purpose: Capture companies that are still growing at a healthy rate.
   • Rationale:
     • Growth is a key element for stocks that are interesting enough to be “featured.” A minimum 8% year-over-year revenue growth suggests these are not stagnant, mature laggards.
     • Combining profitability with growth helps avoid companies that grow sales but can’t turn that into solid earnings (or vice versa).
     • It balances quality with a forward-looking dimension: not just strong today, but expanding.

5. Analyst Consensus = “Strong Buy”

   • Purpose: Restrict the list to names with very favorable analyst sentiment.
   • Rationale:
     • Professional “featured” lists often incorporate consensus views from the sell-side to surface ideas where there is broad support for upside potential.
     • A Strong Buy rating implies that, across covering analysts, the balance of opinions is very positive on the stock’s prospects.
     • This filter narrows candidates to those that the analyst community currently views as particularly attractive.

Why Results Match:

• The combination of size (large cap), profitability (net margin), capital efficiency (ROE), and growth (revenue YoY) builds a “high-quality, growing leaders” profile that is suitable for general, front-page “Featured Screeners,” rather than niche or speculative ideas.
• The Strong Buy consensus layer aligns the output with stocks that are currently favored by analysts, increasing the likelihood that these names are timely and relevant for investors looking at a featured list.