Screening Filters
market_cap_category: ['large', 'mega']
- Purpose: Focus on the biggest, most established US companies.
- Rationale: When someone asks for “top” stock ideas in the US market, it usually implies stability, liquidity, and name recognition. Large- and mega-cap stocks (tens/hundreds of billions in market value) tend to be:
- More liquid (easier to trade, tighter spreads)
- Better covered by analysts and institutions
- Less prone to extreme volatility than small caps
moving_average_relationship: ['PriceAboveMA200']
- Purpose: Include only stocks in a longer-term uptrend or at least trading above a key support level.
- Rationale: The 200‑day moving average is a widely followed technical benchmark. Price above the 200‑day MA suggests:
- The stock is generally in a positive or recovering trend
- It’s not in a prolonged downtrend or “broken” technically
For a “top” screener, you typically don’t want structurally weak charts unless you’re specifically targeting deep value or turnaround plays.
region: ['United States']
- Purpose: Limit results strictly to US-listed companies.
- Rationale: Directly aligns with “for the US market.” This excludes non-US listings and ADRs from other regions so that the universe is genuinely US-focused.
is_index_component: ['GSPC'] (S&P 500 constituents)
- Purpose: Restrict to S&P 500 members.
- Rationale: The S&P 500 is the core benchmark for “the US stock market.” By screening only S&P 500 constituents:
- You’re automatically in the large/mega cap, higher-quality universe
- You reduce the noise from thinly traded or lower-quality names
This is highly consistent with the idea of “top” US stocks rather than speculative small caps.
net_margin: {'min': '10'}
- Purpose: Ensure companies have solid profitability.
- Rationale: A net margin of 10%+ is generally considered healthy for many industries. This filter:
- Excludes low-margin, structurally weak businesses
- Favors companies with stronger pricing power and cost control
For a “top” screener, you usually want companies that actually convert revenue into meaningful net income.
eps_5yr_cagr: {'min': '10'}
- Purpose: Require a track record of consistent earnings growth.
- Rationale: A 5-year EPS CAGR of at least 10% indicates:
- The business has been growing earnings at a solid pace over time
- There’s a history of value creation, not just a one-off good year
“Top” US stocks commonly combine size, quality, and sustained earnings growth; this filter captures the growth element.
pe_ttm: {'min': '10', 'max': '35'}
- Purpose: Keep valuations within a reasonable, non-extreme range.
- Rationale:
- Min 10: Excludes extremely low P/E names that may be distressed or “value traps.”
- Max 35: Excludes the most expensive, highly speculative growth stocks where expectations may be overly aggressive.
This aims for a middle ground: quality growth at a fair price, which is typical for balanced “top stock” screens.
Why Results Match the User’s Intent
- The US focus (region + S&P 500) aligns directly with “US market.”
- The large/mega caps plus S&P 500 membership target the core, widely followed segment investors usually think of as “top” US stocks.
- The combination of profitability (net margin ≥ 10%), growth (EPS 5y CAGR ≥ 10%), and reasonable valuation (P/E 10–35) screens for fundamentally strong, relatively well-priced businesses.
- The technical trend filter (price above 200-day MA) helps ensure candidates are not in major downtrends, aligning with the idea of robust, currently attractive names rather than just theoretically good on paper.
Together, these filters build a practical “top US stocks” screener: big, profitable, growing, reasonably valued US companies in generally healthy price trends.
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.