Penny stocks in the news

Screening Filters

1. market_cap ≤ $2,000,000,000

   • Purpose: Focus on smaller companies.
   • Rationale: Penny stocks are typically small- or micro‑cap. Capping market cap at $2B excludes most large, established firms and keeps the universe tilted toward typical penny‑stock territory.

2. price between $0.20 and $7

   • Purpose: Capture low-priced (“penny”) stocks while avoiding extreme outliers.
   • Rationale: Many definitions use <$5; setting a band of $0.20–$7 catches classic penny names plus slightly higher‑priced “low‑priced” stocks, while excluding true micro‑prices (<$0.20) that are often ultra‑illiquid or distressed.

3. monthly_average_dollar_volume ≥ $100,000

   • Purpose: Ensure basic tradability.
   • Rationale: Many penny stocks are illiquid. Requiring at least $100k traded per month filters out names that are too thin to trade practically, aligning with a realistic trading focus.

4. list_exchange ∈ {XNYS, XNAS, XASE} (NYSE, NASDAQ, AMEX)

   • Purpose: Restrict to main U.S. exchanges.
   • Rationale: This avoids OTC/pink‑sheet names, which are riskier and less transparent. It keeps the list to better‑regulated penny/low‑priced stocks.

5. is_index_component: []

   • Purpose: No explicit inclusion/exclusion based on index membership.
   • Rationale: Penny stocks are rarely in major indices anyway, so leaving this open doesn’t conflict with the goal and avoids unintentionally excluding relevant names.

6. news_driver ∈ {Positive, Negative}

   • Purpose: Only include stocks currently in the news.
   • Rationale: The user wants “penny stocks in the news.” Requiring a positive or negative news driver ensures each result has a recent, potentially price‑moving news catalyst (earnings, guidance, deals, etc.).

Why Results Match:

• The price and market cap filters narrow the universe to typical penny/low‑priced, smaller‑cap stocks.
• The exchange and liquidity filters keep the list tradable and better regulated.
• The news_driver filter directly targets stocks with current news, satisfying the “in the news” requirement.