Context / Limitation
No screener can identify “the best stock to buy right now” with certainty—future performance is inherently uncertain. What we can do is narrow the U.S. market to a set of large, high-quality, growing, reasonably valued stocks, which are more likely to be attractive candidates for further research.
Below is how each filter supports that goal.
Screening Filters
Market Cap ≥ $20B (market_cap: {'min': '20000000000'})
- Purpose: Focus on large-cap U.S. companies.
- Rationale:
- Large caps tend to be more established, with diversified businesses and stronger balance sheets.
- They usually have better liquidity (tighter spreads, higher volume), making them more practical for most investors.
- For someone asking “best stock to buy now,” starting with stable, well-known companies is more appropriate than speculative small caps.
Index Member: S&P 500 or NASDAQ-100 (is_index_component: ['GSPC', 'NDX'])
- Purpose: Restrict results to major index constituents (S&P 500 and NASDAQ-100).
- Rationale:
- These indexes include large, vetted companies that already meet stringent criteria (size, liquidity, listing standards).
- They represent many of the most followed and researched companies in the U.S. market.
- This filter increases the chance you’re looking at market leaders rather than obscure names.
Listed on NYSE or NASDAQ (list_exchange: ['XNYS', 'XNAS'])
- Purpose: Ensure stocks are listed on the primary U.S. exchanges.
- Rationale:
- NYSE and NASDAQ have higher listing and reporting standards than many OTC or foreign exchanges.
- Helps avoid illiquid or lightly regulated securities.
- Aligns directly with your request to focus on the U.S. stock market.
Net Margin ≥ 10% (net_margin: {'min': '10'})
- Purpose: Screen for companies with solid profitability.
- Rationale:
- A net profit margin of 10% or more suggests a meaningful level of pricing power, cost control, or a strong business model.
- High or stable margins can indicate durable competitive advantages, which matter when searching for high‑quality “best buy” candidates.
- Filters out low-margin, more fragile businesses that may be more sensitive to economic shocks.
EPS 5-Year CAGR ≥ 10% (eps_5yr_cagr: {'min': '10'})
- Purpose: Require consistent earnings growth over the last 5 years.
- Rationale:
- A compound annual EPS growth rate of 10%+ signals historical growth momentum, not just a one-off spike.
- Companies with sustained earnings growth are often rewarded with higher valuations and better stock performance over time.
- Helps align the screen with stocks that have a track record of growing shareholder value, which is a key quality when looking for leading candidates.
P/E (TTM) between 10 and 35 (pe_ttm: {'min': '10', 'max': '35'})
- Purpose: Filter for stocks with reasonable valuations—neither extremely cheap nor excessively expensive.
- Rationale:
- P/E < 10 can sometimes flag distressed, cyclical, or value traps; the lower bound avoids many of the most troubled names.
- P/E > 35 often reflects very high expectations and growth already priced in, increasing downside risk if growth slows.
- Keeping P/E in a 10–35 band targets companies that have some growth premium but are not wildly overvalued, balancing quality and price.
Why the Results Match Your Intent
You asked for the best stock in the U.S. market right now; the screen narrows the universe to:
- Large, liquid U.S. companies (NYSE/NASDAQ, ≥ $20B market cap).
- Well-established index constituents (S&P 500 / NASDAQ-100).
- Businesses with solid profitability (net margin ≥ 10%).
- Proven earnings growth over multiple years (EPS 5yr CAGR ≥ 10%).
- Reasonably valued relative to earnings (P/E between 10 and 35).
This combination doesn’t guarantee future outperformance, but it is a rational way to focus on high-quality, growing, and not-extremely-overpriced U.S. stocks—exactly the kind of universe you’d typically examine when searching for “the best stock to buy now.”
You’d still want to do deeper research (industry outlook, balance sheet, competitive position, management, etc.) to choose among the screened names.
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.