Best Stock Screeners

Guide to Stock Screeners

A stock screener is a tool used by investors and traders to quickly filter stocks based on user-defined criteria. It's typically used to locate potential trades, review stock performance over time or identify trends in the markets. The criteria that can be used in a stock screener vary by platform, but usually include financial metrics such as price-to-earnings ratio, market capitalization and dividend yield. These features also allow users to search for stocks based on industry sectors or specific company characteristics.

Stock screeners make it easier for investors to analyze the large amount of available data and narrow down their list of potential investments. They are often used to compare different stocks within industries and track performance over time. For example, an investor may use a screener to find all tech stocks with a P/E ratio below 10, which could help them narrow their options before doing further research into individual companies.

In addition to basic financial metrics, some stock screeners also provide access to news headlines related to each company as well as analyst ratings from various brokerages. This information can help investors gain insights into industry trends and understand how external events might affect the value of certain stocks.

Finally, many modern stock screeners offer additional features such as charting tools and backtesting capabilities, allowing users to simulate different trading strategies using historic data. For example, a trader using a charting tool could see how an investment would have performed if entered at different points in time or test out hypothetical scenarios without risking real money.  Overall, stock screeners make it easier for investors and traders of all levels to do research on potential investments or follow existing positions more closely.

Features of Stock Screeners

• Market Capitalization: Market capitalization is a measure of the total value of a company's outstanding shares. It is calculated by multiplying the share price by the number of outstanding shares. This metric is often used to determine if a company is large-cap, mid-cap, or small-cap.
• 52 Week Range: This is the range of prices that a stock has traded between over the past 12 months. It can be seen as an indication of how volatile a stock has been over the past year, and whether it has been trending upwards or downwards in value.
• Return on Equity (ROE): Return on Equity (ROE) measures how efficiently a company utilizes its equity to generate income. It is determined by taking net income divided by shareholders' equity, which gives investors an idea of how much profit they can expect to make based on their investments.
• Price/earnings Ratio (P/E Ratio): The P/E Ratio shows how much investors are willing to pay for each dollar of earnings reported by the company. It is calculated by dividing the current price per share by the earnings per share reported for the last four quarters. A higher ratio indicates that investors have high expectations for future growth, while a lower ratio may indicate investors are bearish about prospects for future performance.
• Earnings Per Share (EPS): Earnings Per Share (EPS) measure what portion of a company’s profits are attributable to each individual share held in its stock portfolio. EPS provides an indication as to whether a company’s stock is undervalued or overvalued relative to its peers since it considers both profitability and share count when calculating this figure.
• Dividend Yield: Dividend Yield measures what portion of profits are returned directly back to shareholders in dividends as opposed reinvested back into operations or saved up for other purposes such as acquisitions or debt repayment plans. Generally speaking, higher dividend yields imply more generous returns and better overall financial health whereas lower yields can be indicative of companies being conservative with their finances or struggling financially altogether.

What Are the Different Types of Stock Screeners?

• Fundamental Screener: This type of screener looks at the fundamental metrics of a company, such as financial ratios and past performance. It is used to help investors identify stocks that are undervalued or may be good investments.
• Technical Screener: This type of screener uses charting and other technical analysis tools to identify stocks that fit certain criteria. It can be used to find stocks with specific price movements or trends over time.
• Sector Screener: This type of screener looks at stocks within a particular sector, such as energy or technology. It helps investors identify opportunities in industries they are interested in investing in.
• Options Screener: This type of screener looks for options contracts that have specific criteria, such as expiration dates, strike prices, and premiums. It can be used by traders who are looking for short-term gains from options trading activities.
• News Screener: This type of screener looks at news stories related to stocks to see if any hint at potential gains or losses for shareholders investing in them. It can be used by investors who want to stay up-to-date on market changes and news events relevant to their portfolios.

Advantages Provided by Stock Screeners

1. Time-Saving: Stock screeners allow investors to quickly narrow down and evaluate stocks according to their specified criteria. This saves them from having to manually research every stock in the market, which can be time-consuming.
2. Valuable Insights: Stock screeners provide valuable insights into different characteristics of stocks, such as price-to-earnings ratios, dividend yields, and return on equity. This allows investors to identify potential investment opportunities that fit their specific criteria.
3. Low Cost: Compared to many other forms of investing research, using a stock screener is relatively inexpensive. Many free online stock screening services are available, and they provide users with access to a wide variety of data sources.
4. Customization: Stock screeners allow users to customize the criteria used for screening so that they can easily filter out stocks that don’t fit their investment preferences. This makes it easier for investors to find stocks that meet their objectives and suit their risk tolerance level.
5. Automation: Some premium stock screening services even offer automated functions, such as automatic portfolio rebalancing or notifications when certain conditions are met. This can help investors stay on top of the latest market trends without having to constantly monitor them themselves.

Types of Users that Use Stock Screeners

• Casual Investors: People who are looking to make a few extra bucks in the stock market but don't have any major financial commitments that require them to know every detail about stocks. They will use stock screeners to get an idea of what the possible investments could be and be able to look at different performance metrics.
• Professional Traders: Experienced traders who are looking for specific stocks that meet their criteria, such as high yields or low volatility. They will likely use complex algorithms and back testing in order to pick out the best stocks for their portfolios.
• Portfolio Managers: These professionals are responsible for overseeing large portfolios of stocks, so they need access to accurate data on all of these individual stocks. Stock screeners can help them quickly review different combinations of stocks and compile reports with all the relevant information.
• Mutual Fund Managers: Similar to portfolio managers, these individuals also manage large pools of money that are invested in multiple stocks and bonds simultaneously. A good stock screener can help them quickly filter through options depending on how much risk they want to take and other factors.
• Quantitative Analysts: These analysts specialize in analyzing quantitative data from stocks. While this data is usually hard to process by hand, a good stock screener can easily present it in a user-friendly format which allows them to draw insights on their own terms.

How Much Do Stock Screeners Cost?

The cost of stock screeners depends on the specific service you're using and what features it includes. Generally speaking, some services offer a basic version which is free of charge, while more advanced versions tend to cost money. For instance, many online brokerages provide their own stock screener tools offering both basic and advanced options that are accessible at no extra charge. Other services may offer both paid and free versions depending on your needs. The paid versions usually come with additional features or access to higher-level data, such as industry analysis or proprietary ratings systems. Prices for these premium services can range from around $10-$50 per month or more, depending on the level of features you want/need, so it's important to shop around and compare offerings before making a final decision.

Stock Screeners Integrations

Software that can integrate with stock screeners includes trading tools, portfolio management tools, and financial analysis software. Trading tools allow investors to quickly identify and execute trades without manually entering data into the system. Portfolio management software helps investors make decisions about their portfolios by providing data on stocks and the market as a whole. Financial analysis software can be used to track trends in the stock market and compare different stocks side-by-side. All of these types of software can help investors gain insight into potential investments through integrated stock screeners.

Recent Trends Related to Stock Screeners

1. Stock screeners are becoming increasingly popular as a way for investors to quickly identify potential investments.
2. Screeners allow users to filter stocks based on criteria such as price, market cap, sector, and more.
3. These tools can be used to quickly narrow down a large universe of stocks to a select few that meet the user's criteria.
4. Many stock screeners offer additional features such as charts, technical indicators, and intuitive user interfaces.
5. Some stock screeners are free while others require a subscription fee.
6. Many screeners are now available as mobile apps which makes it easier for investors to access the stock market on the go.
7. As technology advances and more data becomes available, some stock screeners are incorporating artificial intelligence (AI) into their analysis tools to provide more accurate results.
8. As AI gets better at interpreting data, stock screeners will become even more powerful and efficient in helping investors find the best stocks to invest in.

How to Choose the Right Stock Screener

Compare stock screeners according to cost, capabilities, integrations, user feedback, and more using the resources available on this page.

1. Decide what criteria you are looking for in a stock screener. Consider factors such as ease of use, cost, research capabilities, and customization options.
2. Research different stock screeners to find the one that best fits your needs. Check out reviews from trusted sources and read user opinions on forums to get an idea of how the screener works and if it has features you need.
3. Ask yourself questions about the data available in the screener and how easy it is to access it. Consider whether or not the screener can provide reliable information, as well as how frequently it is updated with new data points.
4. Investigate the fees associated with using the screener and ask yourself whether or not you think they are reasonable based on what you will be getting out of it in return for your investment of time and money.
5. Test drive any potential stock screeners to make sure they meet your individual needs before committing to using them on a regular basis.