Small-Cap Profitable Stock Screen with Low Share Price and Price Movement

Summary

This Chinese equity screen seeks companies with market capitalization below 10 billion yuan, positive earnings, share prices under 12 yuan, and an amplitude measure above 1%. The article frames the filters as combining small size and profitability with a low nominal share price and recent price movement. It discusses possible refinements, including adding growth or research-and-development measures, improving the profitability criterion, and using risk controls to limit concentration.

The note flags uneven selection results and the possibility that financial data may be inaccurate or manipulated. Its sample implementations are illustrative and do not fully align: the formula measures the open-to-prior-close gap, while the prose refers to amplitude, and the Python example checks other price conditions. No backtest or evidence of predictive value is provided, so the criteria need clear definitions and empirical validation before use.

Key ideas

• The screen combines a market-cap ceiling, positive earnings, a low share price, and a price-movement threshold.
• The article proposes adding growth and research-and-development measures to the filters.
• It identifies financial-data quality and portfolio concentration as potential risks.
• The sample formula and Python logic do not consistently implement the stated amplitude condition.
• No backtest or evidence of strategy performance is included.

Tags

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