Filtering Chinese Equities by Volatility, Profitability, Size, and Turnover

Summary

This stock screen selects Chinese equities with daily price amplitude above 1%, market capitalization below 10 billion yuan, positive net profit, and previous-day turnover above 60 million yuan. It also excludes names containing the special-treatment marker ST. The article presents these conditions as a way to combine short-term activity, smaller company size, basic profitability, and trading liquidity.

The discussion warns that high amplitude can signal elevated risk and that unusually active shares may be driven by short-term speculation. It suggests adding trend, valuation, financial-health, capital-flow, relative-strength, earnings-growth, or dividend measures, alongside stop levels, position limits, and a considered rebalance frequency. It supplies formula and Python examples, but no backtest, performance evidence, or operational validation. Its claims about growth potential and market recognition should therefore be treated as hypotheses, and the screen alone does not establish suitability or profitability.

Key ideas

• The screen combines price amplitude, market capitalization, positive earnings, and recent turnover.
• It excludes special-treatment stocks through a name-based filter.
• High volatility and attention from short-term traders can increase risk.
• Additional financial, trend, and risk controls may make the selection process more robust.
• The article provides implementation examples but no measured results.

Tags

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