Screening Recent IPOs by Turnover and Share Price

Summary

This document describes an equity screen for stocks with turnover between 3% and 12%, an IPO year of 2021, and a price below 12. Its rationale is to find relatively inexpensive, recently listed companies with moderate trading activity, while acknowledging that these filters alone say little about company quality. It recommends supplementing them with measures such as profitability, valuation, growth, industry prospects, competitive position, and management.

The material supplies a Python example for assembling a stock list and filtering candidates, but it reports no backtest, return, or risk statistics. The example is incomplete and does not cleanly match the stated screen: the shown stock-list construction does not include all fields later referenced, the price condition uses a less-than-or-equal comparison, and the turnover range is not implemented. The document also cautions that low-priced stocks may be volatile and that a narrow set of criteria can misjudge a company. The screen is therefore best understood as an initial candidate filter, not an evaluated investment method.

Key ideas

• The stated screen selects stocks with turnover from 3% to 12%, an IPO year of 2021, and price below 12.
• The document frames the criteria as a way to find newer, lower-priced stocks with moderate activity.
• It recommends adding financial, valuation, growth, industry, competitive, and management analysis.
• It warns that low-priced shares can be volatile and that limited inputs may lead to poor judgments.
• The example code omits or changes parts of the stated filters and provides no performance evidence.

Tags

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