Screening Filters
Market Cap ≥ $2,000,000,000
- Purpose: Focus on mid- and large-cap U.S. stocks.
- Rationale:
- Larger caps tend to be more liquid, which is important for shorting (tighter spreads, easier borrow, better ability to enter/exit).
- Avoids tiny, illiquid names where borrow costs, volatility, and squeeze risk can be extreme, making them impractical shorts for many investors.
Price Below 200-Day Moving Average (PriceBelowMA200)
- Purpose: Target stocks in established downtrends.
- Rationale:
- The 200-day moving average is a common long-term trend indicator.
- Price below the 200-day MA suggests the stock is in a bearish phase rather than just experiencing a short-term dip.
- For short ideas, you generally want names already showing technical weakness, not those in strong long-term uptrends.
1-Month Price Change ≤ -10% (month_price_change_pct max: -10)
- Purpose: Filter for stocks that have recently dropped at least 10% over the last month.
- Rationale:
- A sizable recent decline can signal that the market is starting to price in problems (fundamental or sentiment-driven).
- This aligns with looking for negative momentum; short candidates often have both a weak long-term trend and recent weakness, indicating sustained selling pressure.
- It may also indicate that bad news or deteriorating conditions are already in play.
Region: United States
- Purpose: Restrict results to U.S.-domiciled companies.
- Rationale:
- Directly matches your request for “US stocks.”
- Ensures consistency in accounting standards, regulation, and trading hours, which matters for risk management and research.
Exchange: NYSE, NASDAQ, AMEX (XNYS, XNAS, XASE)
- Purpose: Limit to major U.S. exchanges.
- Rationale:
- Stocks on these exchanges typically have better liquidity, transparency, and more reliable data—important for executing and managing short positions.
- Avoids OTC and very illiquid names where execution is difficult and volatility can be extreme.
Quarterly Revenue YoY Growth ≤ 0% (quarter_revenue_yoy_growth max: 0)
- Purpose: Focus on companies with flat or negative revenue growth.
- Rationale:
- Slowing or contracting revenue is a classic fundamental red flag and often precedes or accompanies earnings pressure.
- For shorts, you typically want deteriorating or stagnating fundamentals; weak or no top-line growth reduces the justification for high valuations and can support a bearish thesis.
P/E (TTM) ≥ 30 (pe_ttm min: 30)
- Purpose: Target stocks that are relatively expensive on an earnings basis.
- Rationale:
- A high P/E combined with little or no revenue growth suggests a valuation mismatch: the stock may be priced for growth that is not materializing.
- Overvaluation plus weak fundamentals often creates downside risk, making these names more attractive as short candidates if/when expectations reset.
Why Results Match Your Request
- They are U.S. stocks on major exchanges, directly matching your geographic and market specification.
- They are large and liquid enough (≥ $2B market cap) to be more practical and less risky to short from an execution standpoint.
- They show technical weakness:
- Trading below the 200-day moving average (long-term downtrend).
- Down at least ~10% in the last month (recent negative momentum).
- They show fundamental vulnerability:
- Flat or negative revenue growth (no underlying business momentum).
- Yet still trade at high valuations (P/E ≥ 30), implying elevated expectations that may be vulnerable to disappointment.
Together, these filters surface U.S. stocks that are:
- Technically weak,
- Fundamentally unimpressive or deteriorating, and
- Still priced expensively—
a combination often used by short-sellers to identify potential short candidates.
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.