Screening Filters
Market Cap ≥ $20,000,000,000 (Large-cap only)
- Purpose: Focus on larger, more established U.S. companies.
- Rationale: Since you asked for “one stock to invest in” (without specifying high risk or speculative plays), the screener limits results to large-cap companies (≥ $20B). These firms tend to be more stable, have stronger balance sheets, and are usually more resilient in downturns than small caps or microcaps.
Exchange in ['XNYS', 'XNAS', 'XASE'] (NYSE, NASDAQ, AMEX)
- Purpose: Restrict to major U.S. stock exchanges.
- Rationale: Your request is specifically for a U.S. stock. NYSE (XNYS), NASDAQ (XNAS), and AMEX (XASE) are the primary U.S. exchanges, known for higher listing standards, better liquidity, and more regulation and disclosure—important for a typical long-term investor.
is_index_component: ['GSPC'] (S&P 500 members only)
- Purpose: Limit the universe to S&P 500 companies.
- Rationale: The S&P 500 consists of 500 of the largest, most established U.S. companies that meet strict profitability, size, and liquidity requirements. This narrows your choices to high-quality, blue‑chip names rather than riskier or thinly traded stocks, which aligns well with a general “I want one stock to invest in” type request.
Return on Equity (ROE) ≥ 15%
- Purpose: Ensure the company is using shareholders’ capital efficiently and profitably.
- Rationale: ROE measures how effectively a company turns equity into profit. A threshold of 15% is relatively high and is commonly used to identify quality businesses with strong profitability and competitive advantages. This helps you avoid weak or mediocre companies within the S&P 500.
Annual Revenue YoY Growth ≥ 5%
- Purpose: Filter for companies that are still growing their top line.
- Rationale: Even among large, established firms, growth can vary widely. Requiring at least 5% year‑over‑year revenue growth screens out stagnating or shrinking businesses, and favors companies with ongoing demand for their products/services—supportive of long‑term investment returns.
P/E (TTM) between 10 and 30
- Purpose: Avoid both very expensive and unusually cheap (potentially distressed) stocks.
- Rationale:
- A minimum P/E of 10 helps exclude extremely low‑valuation names that could signal underlying problems or market pessimism.
- A maximum P/E of 30 prevents chasing highly speculative or overhyped companies trading at very rich valuations.
This range targets companies that are reasonably valued relative to their earnings, which is a sensible starting point for a general investor.
Why Results Match What You Asked For
- The exchange and S&P 500 filters ensure you get a U.S.-listed, large, reputable company, suitable for a typical investor rather than a speculative trade.
- The market cap, ROE, and revenue growth filters tilt the search toward established, profitable, growing businesses, increasing the likelihood of a solid long‑term investment candidate.
- The P/E range keeps the list focused on reasonably valued stocks, not extremes that could be overhyped or deeply troubled.
Together, these filters build a focused list of strong, large U.S. companies from which a single, sensible investment candidate can be chosen.
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.