Stock screener software can be used to break down a huge amount of stock information to find what you need in a very short time. There are multiple applications of this technology from fundamental to technical analysis, even event driven screens. Using the stock screener software to filter for shares that have reverse split. Let’s say our strategy is to short companies where the stock has undergone a reverse split e.g. 1 for 2 shares. This typically happens when a company’s future appears bleak and they are up against the minimum price allowed on the stock exchange to remain listed as a public company. If you believe this indicates the management has a negative opinion of the company’s future, then it may be a good time to short the stock and you should screen for reverse splits. Simply enter a rule such as shares outstanding now is less than one-half times shares outstanding 1 week ago.
This will filter for companies that have done a reverse split of at least 1 for 2 in the last week. Filter for price and volume pattern. Suppose your strategy is to buy low priced stocks that have formed a discernible bottoming pattern in prices and have large institutional buyers entering. The idea is to buy early along with the big institutions before the price starts moving up. You can set up a screen with this rule: weekly price is less than 10 ago and price is greater than or equal to the low of the last 20 weeks and weekly volume is greater than 5 times average weekly volume for the last 10 weeks. The stock screener software will find shares that have stopped their downtrend and have high volume in the last week, which may indicate big buyers. Filter for debt-to-equity ratio and cash flow growth. If you are a cash flow oriented value investor like buffet, you can set up a highly useful screen.
Set a rule that says find stocks with debt-to-equity ratio less than 1 and average cash flow growth over the last 3 quarters of at least 8%. the screener will isolate conservative companies in a stable leverage position with growing free cash flow. From this screen you can further drill down to find companies with increasing cash from operations and perhaps find a few excellent value investments. These are just a few of the examples of the uses and capabilities of stock screener software. Even when you are fresh-off the vessel when it involves stock investing or you do not have the full time to dedicate to it, if you are prepared to recognize your financial freedom I highly recommend you provide an opportunity to the best stock screener software. Find more info from http://swingalpha.com/best-stock-screener