A Shenzhen Main Board Stock Screen Using Flows, Valuation, and Trend
Summary
This Chinese-language post outlines a stock selection screen for the Shenzhen main board. It combines a ranking by capital inflows, retaining the top 100 names, with valuation filters that require price-to-earnings ratios from 0 to 29.01 and price-to-book ratios from 0 to 3.11. It also selects stocks whose 30-day closing-price trend is rising, then proposes a combined review of the resulting candidates.
The author’s rationale is that stronger inflows may indicate market interest, moderate valuation ratios may suggest relative value, and an upward price trend may point to favorable momentum. The post warns that flow measures can reflect sentiment, accounting practices can affect financial ratios, and price data can be influenced by sentiment and trading volume. It recommends considering more financial and market measures as possible refinements. No backtest results, benchmark, rebalancing schedule, transaction cost assumptions, or evidence for the chosen thresholds are provided, so the screen is a hypothesis rather than a demonstrated source of returns.
Key ideas
- The screen ranks stocks by capital inflows and keeps the highest-ranked group.
- It applies specified price-to-earnings and price-to-book ranges to Shenzhen main board stocks.
- A rising 30-day closing-price trend is used as an additional selection condition.
- The proposed explanations are plausible rationales, but the post provides no performance validation.
- Flow, accounting, and price indicators can each be affected by noisy or incomplete data.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.