Filtering Chinese Stocks by Range, Market Cap, and Profitability

Summary

The document describes a Chinese equity screening idea: select stocks with a daily price range above a stated threshold, exclude stocks that hit the daily limit on the previous day, cap market capitalization, and require profitability over the prior three years. It frames the range filter as a way to find more active shares and the market-cap and earnings filters as a way to focus on smaller, profitable companies.

The post also suggests combining the screen with valuation, technical, industry, and macroeconomic analysis, then building a diversified portfolio. It provides sample Python logic, but that example includes additional conditions and implementation details that do not fully match the prose description. No backtest results or performance evidence are reported. The author notes that emphasizing profitability can overlook growth and that ignoring other fundamental or technical factors may lead to weaker-than-expected returns.

Key ideas

• The screen combines price amplitude, prior-day limit status, market capitalization, and recent profitability.
• The stated rationale is to find active small-cap shares with a record of earnings.
• The sample implementation adds conditions beyond the prose description, so the specification is not fully consistent.
• The post recommends using broader fundamental, technical, industry, and macroeconomic context.
• No evidence of historical or live performance is provided.

Tags

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