Screening Small Profitable Stocks by Amplitude and Buying Activity

Summary

This Chinese A-share screen combines daily price movement above 1%, a market capitalization below 10 billion yuan, positive net profit, and a stated threshold for today’s increase in holdings. The rationale is to find smaller profitable companies with meaningful price movement and signs of buying interest. The document provides a formula and sample Python code, but no backtest, performance statistics, or evidence that these conditions predict future returns.

The author notes that small-cap stocks can be more volatile, that a single buying-activity measure may omit important information, and that the screen is relatively simple. The text suggests adding valuation measures and considering industry quality alongside the selected conditions. The examples are not fully consistent: the formula and prose describe an increase in holdings, while parts of the sample code use turnover or price-change fields. The precise data definition and threshold therefore need clarification before the screen can be reproduced.

Key ideas

• The screen combines price amplitude above 1%, market capitalization below 10 billion yuan, and positive net profit.
• It also requires a stated increase-in-holdings measure above 5%.
• The author flags elevated volatility in smaller stocks and the limits of a simple screen.
• Valuation and industry context are suggested as additional filters.
• The example code uses fields that do not consistently match the written holdings condition.

Tags

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