Chinese Stock Screening by Turnover, Recent Gains, Size, and Profitability

Summary

This stock-screening proposal selects companies with turnover between 3% and 12%, positive 10-day gains below 35%, market capitalization under 10 billion yuan, and no losses over the prior five years. The stated rationale combines recent market activity and price performance with a small-company size limit and a profitability filter. The document also includes a Python example intended to retrieve candidate stocks and apply related conditions.

The screen is presented as a selection rule, not as a fully validated trading strategy. The article itself notes that it omits important checks such as cash flow, balance-sheet health, and valuation, and warns that the definition and verification of a loss-free history can be subjective. It supplies no backtest, benchmark comparison, or returns evidence. The code example also uses a particular historical data window, so it should not be treated as proof of current suitability or as a complete implementation of the stated five-year rule.

Key ideas

• The proposed screen combines turnover, 10-day price gains, market capitalization, and five-year profitability filters.
• The intended universe is Chinese listed stocks, with a market capitalization cap of 10 billion yuan.
• The article recommends adding cash-flow, balance-sheet, and valuation analysis.
• It warns that the screen is incomplete and may encourage unjustified positions.
• No backtest or performance comparison is provided.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.