Screening Filters
Annual Revenue YoY Growth (min: 10%):
- Purpose: To identify companies with strong and consistent revenue growth.
- Rationale: For long-term investments, companies with a history of growing revenue are more likely to sustain their performance and deliver returns over time. A minimum of 10% year-over-year growth ensures that only companies with significant growth potential are included.
P/E Ratio TTM (max: 20):
- Purpose: To filter for stocks that are reasonably valued relative to their earnings.
- Rationale: A lower P/E ratio (below 20) suggests that the stock is not excessively overvalued, which is important for long-term investors seeking to avoid overpaying for growth. This filter ensures that the selected stocks have a balance between growth and valuation.
Dividend Yield TTM (min: 2%):
- Purpose: To include companies that provide consistent income through dividends.
- Rationale: Dividend-paying stocks are often more stable and can provide a steady income stream, which is attractive for long-term investors. A minimum yield of 2% ensures that the selected stocks offer a meaningful return in addition to potential capital appreciation.
Debt-to-Equity Ratio (max: 0.5):
- Purpose: To focus on financially stable companies with low leverage.
- Rationale: A low debt-to-equity ratio indicates that a company is not overly reliant on debt to finance its operations, reducing the risk of financial distress. This is particularly important for long-term investments, as high debt levels can become a burden during economic downturns.
Why Results Match:
- Focus on Growth: The annual revenue growth filter ensures that the selected companies have a proven track record of expanding their business, which is a key driver of long-term stock performance.
- Reasonable Valuation: The P/E ratio filter avoids overvalued stocks, ensuring that the investor is not overpaying for growth, which is critical for achieving long-term returns.
- Income Stability: The dividend yield filter adds an element of stability and income generation, which is beneficial for long-term investors looking for consistent returns.
- Financial Health: The debt-to-equity filter ensures that the selected companies are financially sound and less likely to face solvency issues, making them more reliable for long-term holdings.
By combining these filters, the screener effectively narrows down the universe of stocks to those that are growth-oriented, reasonably valued, financially stable, and capable of providing consistent income—all of which align with the user's request for good long-term trades.
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.