Screening for Turnover, Low K, and Historical Revenue Growth

Summary

This note proposes screening stocks with turnover between 3% and 12%, a K value below 20, and 2021 revenue more than 10% above 2018 revenue. It combines a trading-activity range and a technical threshold with a multi-year revenue comparison, aiming to include both market behavior and company growth. The document supplies example platform expressions and Python-style pseudocode, but no backtest results or evidence that the criteria produce profitable selections.

The note cautions that revenue growth alone does not establish profitability or business quality, and that reported financial data can be inaccurate. It recommends reviewing broader financial health, industry conditions, technical indicators, and market sentiment. The examples leave implementation questions unresolved, including the definition and calculation of K, the treatment of reporting periods, and the data alignment needed for historical testing. Accordingly, the criteria are best understood as a screening proposal rather than a complete investment or trading system.

Key ideas

• The screen combines turnover from 3% to 12% with a K value below 20.
• It requires 2021 revenue to exceed 2018 revenue by more than 10%.
• The approach mixes trading activity and a technical condition with historical revenue growth.
• Revenue growth does not by itself establish profitability or reliable financial reporting.
• The note offers no backtest evidence and recommends broader company and industry analysis.

Tags

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