Pennystocks

Screening Filters & Rationale

1. Market Cap (max: $300M):

   • Purpose: Focus on small-cap companies typically classified as penny stocks.
   • Rationale: Smaller market cap stocks often have higher growth potential but come with increased risk, aligning with speculative investment strategies.

2. Price (max: $5):

   • Purpose: Identify stocks priced under $5 to meet the definition of penny stocks.
   • Rationale: Low-priced stocks are more accessible to investors with limited capital and align with the user's interest in penny stocks.

3. Beta (High Risk):

   • Purpose: Target stocks with high volatility for potentially higher returns.
   • Rationale: High beta stocks are more sensitive to market movements, offering greater profit opportunities for risk-tolerant investors.

4. Weekly Average Turnover (min: $1M):

   • Purpose: Ensure sufficient liquidity for ease of buying and selling.
   • Rationale: High turnover indicates active trading, reducing the risk of illiquidity in penny stocks.

5. Monthly Price Change Percentage (min: 10%):

   • Purpose: Focus on stocks with strong recent price momentum.
   • Rationale: Positive price movement suggests potential for continued growth, aligning with short-term speculative strategies.