Screening Filters
Market Cap ≥ $20,000,000,000 (Large-cap only)
- Purpose: Focus on larger, more established companies.
- Rationale: When someone asks for a “good stock to buy,” they often want stability and quality rather than speculative small-caps. A $20B+ market cap typically means:
- The business is well-established with a meaningful track record.
- Better liquidity (easier to buy/sell shares without big price impact).
- Lower business risk than many small or micro-cap names.
Price between $20 and $100
- Purpose: Ensure all candidates trade under $100, and also avoid ultra-low-priced “penny” type stocks.
- Rationale:
- The upper bound ($100) directly answers your “under $100” constraint.
- The lower bound ($20) filters out very low-priced stocks, which often:
- Are more volatile and speculative.
- Can be in financial distress or have weaker fundamentals.
- This keeps the universe in a practical, mid-priced range suitable for many retail investors.
Region: United States
- Purpose: Limit results to U.S.-based companies.
- Rationale:
- U.S. markets are heavily regulated and transparent.
- Many investors asking this type of question are U.S.-focused by default (familiar brands, easier tax/reporting, access through common brokerages).
- Helps avoid currency and jurisdiction complexities while still offering a large investment universe.
Listed Exchanges: XNYS (NYSE), XNAS (NASDAQ), XASE (AMEX)
- Purpose: Include only major U.S. exchanges.
- Rationale:
- Stocks on these exchanges must meet listing standards for size, reporting, and governance.
- Typically better liquidity, narrower bid–ask spreads, and more analyst/institutional coverage.
- Excludes OTC/pink sheet names that can be riskier and less transparent.
Revenue 5-Year CAGR ≥ 8%
- Purpose: Require a solid growth track record in revenue.
- Rationale:
- “Good stock” usually implies a healthy, growing business, not just a cheap one.
- A minimum ~8% compound annual growth rate over 5 years:
- Screens for companies that are expanding, not stagnating.
- Suggests a business with demand tailwinds, competitive advantages, or successful strategy.
- Helps avoid companies with flat or shrinking top lines.
P/E (TTM) between 8 and 28
- Purpose: Ensure valuations are neither extremely cheap (possibly distressed) nor extremely expensive (possibly overhyped).
- Rationale:
- P/E below 8 can indicate market fears about earnings quality, cyclicality, or structural decline.
- P/E above 28 can imply high expectations and valuation risk if growth disappoints.
- A band of 8–28 aims for:
- Reasonable pricing for quality names.
- A balance between “value” and “growth” without extreme outliers.
Analyst Consensus: Strong Buy
- Purpose: Align picks with professional analyst conviction.
- Rationale:
- “Strong Buy” means the majority of covering analysts are very positive on the stock’s prospects.
- While analysts are not infallible, this:
- Adds a layer of external validation of the business, valuation, and outlook.
- Prioritizes names with favorable earnings/revenue forecasts and catalysts.
- Fits the idea of suggesting “good” candidates rather than merely “okay” ones.
Why Results Match What You Asked
- The price filter directly enforces your “under $100” requirement.
- The market cap, exchange, and region filters bias the list toward high-quality, established U.S. companies that are easier and safer to trade.
- The growth and P/E filters focus on companies that are both growing and reasonably valued, instead of just being cheap on price alone.
- The Strong Buy consensus overlay brings in professional research views to identify stocks that many analysts currently consider attractive buys.
Together, these filters aim to surface solid, reasonably valued, growing U.S. large-cap stocks trading between $20 and $100 that Wall Street analysts currently favor—i.e., credible candidates to consider as “good stocks to buy under $100.”
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.