Screening Chinese Main-Board Stocks by Turnover, Float Value, and Positive P/E
Summary
The document describes a stock screen for main-board companies with turnover between 3% and 12%, circulating market value between 5 billion and 10 billion yuan, and a positive price-to-earnings ratio. It frames the turnover and size ranges as initial filters, then uses positive P/E to exclude loss-making companies. Formula and Python examples show how the conditions can be applied to stock data.
The article offers no backtest, performance figures, or evidence that the screen predicts returns. It cautions that P/E alone cannot capture sector differences, business quality, earnings durability, or company risk, and suggests considering other valuation measures such as price-to-book alongside industry context. The criteria are therefore a basic screening recipe, not a complete valuation method or a tested investment strategy.
Key ideas
- The screen limits candidates to main-board stocks with turnover between 3% and 12%.
- It filters circulating market value to the stated range of 5 billion to 10 billion yuan.
- A positive P/E is used as an additional eligibility condition.
- The article warns that P/E alone misses sector context and earnings sustainability.
- It suggests combining valuation measures and industry knowledge for a broader assessment.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.