Screening Filters
Price: min = 5, max = 50
- Purpose: Limit results to stocks trading below $50, but exclude ultra-cheap penny stocks.
- Rationale:
- Your core constraint is “less than $50,” so
max = 50 directly enforces your budget.
min = 5 avoids low‑priced, often illiquid penny stocks that can be extremely risky and easily manipulated.
Market Cap: min = 5,000,000,000 (≥ $5B)
- Purpose: Focus on larger, more established companies.
- Rationale:
- A $5B+ market cap generally means the business is past the very early, fragile stage.
- Larger companies usually have better liquidity, more analyst coverage, and more reliable financial reporting—important if you’re picking with limited capital and can’t diversify heavily.
Region: United States
- Purpose: Restrict to U.S.-listed companies.
- Rationale:
- U.S. markets have strong regulation, disclosure standards, and deep liquidity.
- This simplifies your choice set (no currency issues, fewer differences in accounting rules).
Exchange: XNYS, XNAS, XASE (NYSE, Nasdaq, NYSE American)
- Purpose: Ensure stocks trade on major U.S. exchanges.
- Rationale:
- These exchanges enforce listing standards and tend to have tighter bid‑ask spreads and higher volume.
- This helps you enter and exit positions more easily, especially with smaller amounts of capital.
Net Margin: min = 5 (≥ 5%)
- Purpose: Require at least modest profitability.
- Rationale:
- Positive net margin means the company is actually earning money after all expenses.
- A 5%+ margin filters out chronically unprofitable or extremely low‑margin businesses, improving quality when you can only buy a small number of names.
Annual Revenue YoY Growth: min = 10 (≥ 10%)
- Purpose: Emphasize companies that are growing, not just stable.
- Rationale:
- You’re asking what to buy, implying some upside potential.
- Requiring at least 10% year‑over‑year revenue growth tilts the list toward businesses that are expanding, which often supports future earnings and stock price appreciation.
P/E (TTM): min = 5, max = 30
- Purpose: Avoid both extremely cheap (possibly distressed) and extremely expensive (overhyped) valuations.
- Rationale:
P/E ≥ 5 screens out some “too good to be true” or structurally troubled names with ultra‑low P/Es.
P/E ≤ 30 avoids highly speculative, richly priced stocks where a lot of future optimism is already priced in.
- This gives you a band of “reasonable” valuations among profitable, growing companies.
Why Results Match Your Question
- They respect your price cap by only including stocks trading below $50 and above typical penny‑stock territory.
- They prioritize quality and stability (large market cap, major U.S. exchanges, positive net margin) so your limited capital isn’t pushed into highly speculative microcaps.
- They seek upside potential through 10%+ revenue growth, aligning with the idea of finding something attractive to buy now.
- They control valuation risk with a P/E range that avoids many distressed and excessively priced names.
Overall, the filters are designed to find reasonably valued, profitable, growing U.S. companies under $50 that trade on major exchanges—an appropriate universe given your budget and desire to identify what to buy.
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.