Stock Screening by Turnover, K Value, and Float Market Capitalization

Summary

This article proposes screening stocks with turnover between 3% and 12%, a K value below 20, and circulating market capitalization between 5 billion and 10 billion yuan. It describes the combination as a starting point for finding stocks with potential, then suggests adding financial measures such as revenue and gross profit and considering industry position. Sample formulas and Python code are included to illustrate the filters.

The article does not report a backtest, performance figures, or evidence that these thresholds reduce risk or identify profitable stocks. It acknowledges that the market-cap band can miss emerging firms or admit speculative names. The meaning and calculation of the K value are not clearly established in the prose, and parts of the sample code and stated final criteria do not align cleanly with the initial screen. The implementation and data definitions therefore need scrutiny before the rule can be evaluated.

Key ideas

• The proposed filter combines turnover from 3% to 12%, K below 20, and a specified circulating market-cap band.
• The author suggests adding revenue, gross profit, and industry considerations to broaden the analysis.
• The article warns that a broad market-cap range may omit emerging firms or include speculative stocks.
• No backtest or performance evidence supports the proposed thresholds.

Tags

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