Screening Profitable Chinese Stocks by Turnover, Market Value, and Price

Summary

This note presents a Chinese equity screen combining turnover between 3% and 12%, market capitalization below 10 billion yuan, positive profitability, and a closing price above the previous day’s low. It includes example formula and Python references for filtering listed stocks, checking financial indicators and price data, and sorting candidates by circulating market value.

The author cautions that price movement and liquidity measures alone do not capture valuation, business prospects, industry conditions, or market sentiment. The note proposes adding fundamental and technical factors, but offers no backtest results or evidence that the combined screen predicts returns. Its descriptions and examples are not fully consistent: one stated condition refers to closing price above the prior day’s low, while the opening description says above yesterday’s low and the formula uses a delisting-price reference. The market-value bounds also differ between sections, so the criteria need reconciliation before implementation.

Key ideas

• The proposed screen combines turnover, market value, positive earnings, and a daily price condition.
• The stated turnover range is 3% to 12%, with market capitalization below 10 billion yuan.
• The note warns that price and liquidity filters omit valuation and business prospects.
• It recommends combining fundamentals, industry factors, technical measures, and sentiment.
• The formula and prose contain inconsistent criteria, and the screen is not supported by reported backtests.

Tags

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