Screening Filters & Rationale
Market Cap (max: $500,000,000):
- Purpose: To 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 the penny stock category.
Price (max: $5):
- Purpose: To ensure the stock qualifies as a penny stock based on its low price.
- Rationale: Stocks priced under $5 are generally considered penny stocks, making them accessible for small investments.
Beta (High Risk):
- Purpose: To target stocks with higher volatility for potential higher returns.
- Rationale: High beta stocks are more sensitive to market movements, which can lead to significant price swings and opportunities for gains.
Weekly Average Turnover (min: $1,000,000):
- Purpose: To ensure sufficient liquidity for ease of buying and selling.
- Rationale: Higher turnover indicates active trading, reducing the risk of illiquidity in penny stocks.
Is Optionable (True):
- Purpose: To select stocks that offer options trading for additional investment strategies.
- Rationale: Optionable stocks provide flexibility for hedging or leveraging positions, even in the penny stock category.
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.