In the USA, the most profitable values can be in the biotech industry and in infrastructure companies. In Russia, they can be the financial, telecommunications, and retail sectors. At the same time, energy, oil, gas, and mechanical engineering are also promising, but their greatest growth took place in 2016 where the index sector reached 100%.
The situation with investments in the EU is not very clear: analysts of Goldman Sachs suggest that the most trusted will be the European indices and the German economy. They believe the Stoxx Europe 600 can more than double the growth compared to the S&P 500 and bring the investor a return of 8-10% per year. Analysts recommend that investors form portfolios to choose companies, which are included in the DAX index.
On the other hand, the elections in Germany and France, the uncertainty over the final Brexit agreements in the United Kingdom, and the various structural problems in the European banking system (particularly in Italy and Deutsche Bank) could impede economic growth in the EU. The interest of investors in China may be attracted by high-tech companies in the field of intellectual and electronic development. They also predict the rise in the consumer goods sectors. However, given the possible war between the US and China, the Chinese export-based economy may continue to fall.
So we’ve talked about specific industries that are suitable for investors, but how can we choose companies, what values are worth buying, since there are many in the world? Then, an agent specialized in the selection of actions can be of help.
How to Best Manage a Stock Screener & Popular Services
A stock screener is a service that allows you to choose a company whose shares are listed on a stock exchange. Company lists and their data are constantly updated in a screener, you just need to adjust the parameters we want and you can have selected a list of companies that meet your conditions.
The basic principles of a screener are as follows:
-There is no perfect screener because information about companies cannot be updated instantly. What’s more, it is recommended to use several screeners. They are usually customized for the bag of a certain country.
-Users of screeners for the USA or European exchanges must have knowledge of English.
-We do not recommend following the principle “the more filters, the better.” It is important to use them in order of preference. Screener filters can be compared with the use of filters in Forex market indicators: where a filter is not sufficient, however, 10 filters are too many because they can distract you from the main task. It is vital to have knowledge of how they should be selected as the right option for the trader strategy.
-A screener is able to analyze the story so it is recommended for long-term strategies; they are not good for volatile markets and intraday strategies.
Below we offer a list of some of the interesting and easy-to-use screeners, which provide a large number of filters.
1. Google Finance Stock Screener
This is one of the simplest and easiest-to-use screeners. It contains information on almost every major in the world. From the menu at the top is possible to select your country, the economic sector you want, and the stock market. In the basic version, the system shows the company, sorted by four criteria. However, by clicking “Add criteria”, you can see the required filters and their parameters.
Parameters of some filters:
- Market Cap – company market capitalization.
- P/E Ratio – the share price ratio per share.
- Div yield – the amount of dividends paid per year.
- Last Price – current value price of the company.
- Average Volume – equity liquidity.
Take, for example, MB exchange and see a list of securities with dividends above 10%: According to this screener, out of 500 securities traded in MB, dividends from only 12 companies exceeded 10.18%. The only drawback of this screener is the possibility of some technical failures. We need to know that this screener was designed for professional use, and can also be used for a summary review of the company list.
This is one of the best analysis sites, true to the US stock market. Traders use their analytics to determine the market trend; the “screener” section is an additional trading tool. Check only three American bags, but with more filters in the companies than Google Finance Stock Screener. The truth is that if we analyze the exchanges of the USA in Google Finance Stock Screener, we will see more than 600 companies, while with the Finviz.com screener over 1,000 only for the three US exchanges. In turn, this screener will review 190 companies in European markets, while Google Finance Stock Screener shows values of more than 400 only in Italy. No data on Russian securities.
The site also has separate sections containing analysis information:
Maps: They show values along with sectors and subsectors, which are shown as separate squares, where each asset is a rectangle. The larger the rectangle, the greater the company’s capitalization. When you put the cursor on an asset (rectangle) you will see the price change. The color green means price on the rise; the color red the price lowers.
Groups: In this section are shown the changes that arise in the sectors, countries, industries, and past periods.
Futures and Forex sections show prices in certain markets.
We can say that the Finviz.com screener is a very useful screener especially for the American market; however, it has perhaps too much information.
This screener is one of the most used among all screeners but is focused only on US markets. The title of the site page offers the user one of more than 10 sections: more profitable and more losses in stocks of the day, devalued values…
Each section is composed of a list of companies with certain parameters called P/E, which is the correlation between the price of shares and the earnings for each, changes that occur daily in the price with relative and absolute dimensions. To receive detailed quote information from each company, go to Search for a required Ticker.
Traders have different opinions about this screener. In many forums (for example Smartlab) you get a high rating. But also, it is very difficult to come to understand your operating principles. For example, there is no description in the filter parameters (which is good for those who only start working in the bag). A choice of filters is insufficient to work with. However, it is a matter of taste.
This screener is first in the search system if you search for “Stock Screener”. It also focuses exclusively on US markets.
Filters are divided into several submenus:
Main parameters: price, the volume of securities traded per day, sectors, countries, indices, etc.;
Technical filters: changes in the previous value during the current session, price range during a session, over different periods, etc.;
Basic filters: the relationship between the share price and the profits produced by each share, the totality of shares that are in circulation in the market, etc. There are also the best buy and sell price filters, signals, etc. Some settings (monitoring or chart adjustment) are available only after registration.
The quotes on the site are updated every 15 minutes (according to the website), the site also has graphs showing the history of the price quote. For example, click on the screener section, search for “Electronic Equipment” in the list of industries and go to the AAPL Ticker. You’ll see the “Apple” quote history.
Note, however, that you can make some technical failures by adjusting filters, or incorrect tracking, and the absence of descriptive details of the tickers in the company list.
A stock screener is an additional tool that provides analysis information, such as, for example, an economic calendar or a map with pivot points. They help quickly find company values, which find investor targets and provide comparative characteristics of financial assets, allowing a trader to:
- Save time;
- Find attractive values in the market around the world;
- Compare the performance of different companies and industries.
We know that there is no perfect screener, at the same time, data from various screeners that are due to a specific country or industry can provide an overview of the trend and decide which screener shows more useful information. We can say that there are not screeners that provide information in MB and there is no need for it because there are not many securities to trade intraday in the stock market.