Screening Filters & Rationale
Market Cap ≥ $20,000,000:
- Purpose: Focus on slightly larger penny stocks to reduce extreme business and balance-sheet risk compared with micro/nano caps.
- Rationale: Companies with at least $20M in market value are more likely to have operating history, institutional oversight, and lower odds of being pure shells or scams.
Region = United States (US):
- Purpose: Limit selections to U.S.-domiciled companies for clearer disclosure standards and easier access to information.
- Rationale: U.S. markets are better regulated and provide more consistent financial reporting, which is critical when dealing with high-risk penny stocks.
Price between $0.01 and $1.00:
- Purpose: Directly target penny stocks in the sub-$1 range as requested.
- Rationale: This ensures the screen only returns securities that meet the user’s price constraint while excluding illusory “zero-priced” or halted names.
Weekly Average Turnover ≥ $1,000,000:
- Purpose: Ensure adequate trading liquidity so positions can be entered and exited without extreme slippage.
- Rationale: A minimum dollar turnover filter helps avoid illiquid tickers where even small orders can move the price significantly or get stuck.
Listed on XNYS, XNAS, or XASE:
- Purpose: Restrict results to penny stocks listed on major U.S. exchanges (NYSE, Nasdaq, NYSE American) rather than OTC markets.
- Rationale: Major-exchange listing typically implies stricter listing standards, better disclosure, and somewhat lower fraud/delisting risk versus OTC penny stocks.
This list is generated based on data from one or more third party data providers. It is provided for informational purposes only by Intellectia.AI, and is not investment advice or a recommendation. Intellectia does not make any warranty or guarantee relating to the accuracy, timeliness or completeness of any third-party information, and the provision of this information does not constitute a recommendation.