Undervalued, under $15

Screening Filters

1. P/E Ratio (Trailing Twelve Months) - Max: 15

   • Purpose: To identify stocks that are potentially undervalued based on their price-to-earnings ratio.
   • Rationale: A lower P/E ratio (below 15 in this case) suggests that the stock may be trading at a lower price relative to its earnings, which is often a characteristic of undervalued stocks. This aligns with the user's request for "undervalued" stocks.

2. Price - Max: $15

   • Purpose: To filter for stocks that are priced at $15 or below.
   • Rationale: The user explicitly requested stocks that are "under $15," so this filter ensures that only stocks meeting this price criterion are included in the results.

3. Market Capitalization - Min: $5 billion

   • Purpose: To focus on larger, more stable companies with a minimum market cap of $5 billion.
   • Rationale: While the user did not explicitly request a market cap filter, this criterion helps avoid micro-cap or penny stocks, which can be highly volatile and risky. Including this filter ensures that the results are more likely to feature established companies that are less prone to extreme price fluctuations.

4. Dividend Yield (Trailing Twelve Months) - Min: 2%

   • Purpose: To include stocks that provide a minimum dividend yield of 2%.
   • Rationale: Dividend-paying stocks are often associated with financially stable companies. A minimum yield of 2% ensures that the stocks not only meet the undervaluation criteria but also provide an additional return through dividends, which can be attractive to value-focused investors.

Why Results Match:

• The P/E ratio filter directly addresses the user's request for "undervalued" stocks by focusing on companies with lower valuations relative to their earnings.
• The price filter ensures that only stocks priced under $15 are included, which is a key part of the user's query.
• The market cap filter ensures that the results are skewed toward larger, more stable companies, reducing the risk of including speculative or highly volatile stocks.
• The dividend yield filter adds an extra layer of quality by focusing on companies that return value to shareholders through dividends, which is often a characteristic of financially sound and undervalued companies.

By combining these filters, the screener is designed to identify stocks that are both undervalued and priced under $15, while also ensuring a level of stability and potential income through dividends.