Not all of us have the same preferences when it comes to selecting actions. And that is why we are going to talk about Stock Screeners, also called Stock Screeners. One of the most powerful tools that allow you not to wander through the great ocean of the world of actions. And, who has not found themselves in the situation of not knowing or cannot think about where to invest? Especially in times of economic uncertainty, or when it is not known which company can be better in a sector.
Many millionaires have made their fortune by filtering and being very selective when selecting the shares of a company. Fundamentally for not being carried away by hunches, and having objective criteria at their disposal. Because there is nothing more objective than the numerical part in investments. If as an investor you are also concerned about making sure you find that company that meets all the criteria that you consider essential, then this post is of interest to you.
What is a stock appraiser?
Stock filters are the tools investors can use to select specific stocks. among the hundreds that can be found. All this, based on the criteria and selections that users (investors) give greater relevance. Depending on the functionalities or platforms that have created them, stock screeners can be found on the web from easier free versions to some paid ones (regularly somewhat more elaborate).
Among the most common preferences or selections, we can find different filters some of which define a PER (Price to Earning Ratio) that we have indicated, the volume of market capitalization, the region in which we prefer the company to be listed, the average volume traded, the sector among which it is preferred to search, others , various ratios, etc. Some of these platforms and software allow users to make a screen using technical indicators. Some as common as the RSI (Relative Strength Index) or moving averages at 50, 100 or 200 days, depending on the criteria that the person has always chosen previously.
The main advantage of Stock Screeners, beyond allowing us to filter and go directly to the actions that interest us, is the optimization of personal time. In the past, many investors had to read the extensive guides (hundreds of pages) that were published annually presenting the financial statements of companies. Today would be enough for us a short time to go directly to those actions that meet the criteria we are looking for. And if it is a question of shortening the time, let's see some of the Stock Market Screeners that we can find on the net.
The best stock screeners
On the web we can find a great variety of Stock Screeners. Each of us, as investors, has our preferences when it comes to selecting stocks. For this same reason, we are going to see some of the types of Stock Screeners that could be interesting in our operations. Some of which are specialized in countries, in number of companies, or from parameters more focused on technical analysis.
Investing.com - Quick and easy
My favorite, and that is why in the first place, it is the one that I use the most personally. The bag filter investing.com offers us a quick and easy platform to find and evaluate actions within its interface. In the demo example in the image, I wanted to capture a typical result after applying some filters. In this circumstance, look for non-cyclical consumer companies in the United States, and that trade at a PER between 7 and 25 and annual dividends with a profitability between 3% and 8%. You can see in the lower part of the image the 18 results found, in which for this case I have ordered from highest to lowest dividend.
Among its filters to apply we would find:
- Ratios: The typical ratios between the Price in relation to Sales, Cash Flows, Earnings per Share as well as Asset Turnover, Income and Net Profits per Employee, among others.
- Price: In connection with the quotation. Between its maximum and minimum of the last year, variations, in percentages, and even monthly and daily.
- Arguments: Solvency Ratio, Annual and 5-Year Net Profit Margins, Acid Test, Market Capitalization….
- Dividend: From yield to dividend growth rate, as well as payment (percentage of net earnings to be distributed).
- Technical indicators: The above, and widely used in graphical (technical) analysis. We find filters for RSI, ROC, MACD, ATR, Williams ...
WallueStreet - For the Spanish investor
WallueStreet presents us with the opportunity of a screener in the Spanish Stock Exchange and the analysis of companies that compose it (in addition to the Continuous Market). It is for all those who are interested in investing in the Spanish market and want a fast and super easy to use tool. At the same time as being able to select the actions yourself, in the menu on the left, «Suggested filters», we can see already predetermined sieves.
In the image of this example, you can see the selection of Dividend Aristocrats. Look for companies with good business quality, with steady growth and growing dividends over the years. If you did not know how to find them, the same platform provides you with the filters that you must select for use.
Finviz - For the most demanding
Finviz is surely one of the most complete screeners that we will find on the net. There are many filters, in the image you can see all the opportunities about the "fundamental" filters that can be applied. From annual earnings per share, to recent years, as well as future forecasts, including internal movements! On the other hand, we have the typical descriptive filters depending on the type of company we are looking for and where, but that is not why it is easier. And to finish we can also find filters for the technical chapter, with the respective moving averages, volatilities, RSI and even Gap's.
A truly complete platform, that even when we know that there is no ideal stock screener, will not leave you indifferent.
On the web, there are many other pages for stock reviewers. As an example, Yahoo or Google Finance In their interfaces dedicated to the stock exchanges you will find services that they have added. The most notable advantages they offer in these cases is that they cover a large number of companies. "Low-capital" companies can be found in remote regions and are traded attractively as they are unfamiliar, which can offer great potential for the most finicky investors. All this, with the opportunity to screen the actions that are chosen according to the indicated parameters.
