Screening Filters & Rationale
Debt-to-Equity Ratio (max: 0.9):
- Purpose: To identify companies with manageable debt levels relative to equity.
- Rationale: A lower debt-to-equity ratio indicates financial stability and reduces risk during market downturns.
Weekly Average Turnover (min: 1,500,000):
- Purpose: To ensure sufficient liquidity in the stock for ease of buying and selling.
- Rationale: High turnover reflects active trading, reducing the risk of price manipulation or illiquidity.
Price-to-Earnings (P/E) TTM Ratio (max: 15):
- Purpose: To find stocks trading at a reasonable valuation relative to their earnings.
- Rationale: A low P/E ratio suggests the stock may be undervalued compared to its earnings potential.
Price-to-Book (P/B) Ratio (max: 1.5):
- Purpose: To identify stocks trading close to or below their book value.
- Rationale: A low P/B ratio indicates potential undervaluation and a margin of safety for investors.
Return on Equity (ROE) (min: 7%):
- Purpose: To focus on companies generating strong returns on shareholders' equity.
- Rationale: A higher ROE reflects efficient management and profitability, aligning with long-term growth potential.
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.