Metaverse Stock Screening with Volume Ratio and Float Filters

Summary

This document outlines a Chinese equity screening approach focused on metaverse-related stocks. Its stated filters include a volume ratio between 1.5 and 6 and a circulating share count no greater than 5.5 billion. A later proposed version adds forecast profit growth, a price-to-book comparison with the industry, and the same float limit. The article also sketches a Python implementation using recent price and volume data alongside stock fundamentals.

The screen is presented as a way to find stocks with trading activity and potential short-term opportunities. The article gives no backtest results or performance evidence, and its example implementation does not consistently match the written rules: its profit ranking condition selects below the median rather than the stated top half, and its price-to-book condition compares against the sector minimum rather than the average. It also cautions that small-float stocks can carry greater market risk and that market sentiment and company performance are not accounted for. The suggested improvements include adding fundamental, technical, and macroeconomic evaluation.

Key ideas

• The initial screen selects metaverse stocks with volume ratios between 1.5 and 6 and a circulating share count at or below the stated limit.
• A proposed expanded screen adds forecast profit growth and a price-to-book comparison with peers.
• The example code’s profit-ranking and price-to-book tests do not match the written expanded rules.
• The article warns that small-float stocks and omitted company or market risks may make the screen unreliable.

Tags

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