If you’re looking to invest in stocks, a stock screener can be a valuable tool. A stock screener can help you find stocks that meet certain criteria, making it easier to find good stocks to invest in. Keep reading to learn how to use a stock screener to find good stocks to invest in.
What is a stock screener?
A stock screener is a tool that allows investors to filter and screen stocks by certain criteria that they deem important. This could be anything from the company’s size, to the sector it operates in, to its price-to-earnings ratio.
There are a number of different screeners available online, and most of them offer a variety of filters to help investors find the stocks that are best suited to their individual investing styles. One of the most popular screeners is from Finance Charts. The Finance Charts stock screener offers 20-year charts for nearly every ratio and financial metric.
Determine what kind of stocks interest you.
The first step in using a stock screener is to decide what you are looking for in a stock. Are you interested in high-growth companies? Or maybe you are looking for companies with a solid track record of paying dividends? No matter what you are interested in, there is a stock screener that can help you find the best investments for your portfolio.
If you are interested in high-growth companies, there are a few things to look for. The most important thing is to make sure that the company is actually growing. You can do this by looking at the company’s earnings growth rate. This is the percentage of increase in the company’s earnings per share from one year to the next.
You should also look at the company’s revenue growth rate. This is the percentage of increase in the company’s revenue from one year to the next. Finally, you should look at the company’s price to earnings (P/E) ratio. This is the price of the stock divided by the company’s earnings per share. A high P/E ratio means that the stock is expensive, and a low P/E ratio means that the stock is cheap.
If you are interested in dividend-paying stocks, you should look for a few things. The first is to make sure that the company is paying out dividends. You can do this by looking at the company’s dividend yield. This is the percentage of the company’s stock price that is paid out as dividends each year.
You should also look at the company’s dividend growth rate. This is the percentage of increase in the company’s dividends from one year to the next. Finally, you should look at the company’s P/E ratio the same as before.
Input your search criteria into the stock screener.
Once you’ve decided on your criteria, you can start using the stock screener. Enter the criteria that you want to use into the screener and hit “enter.” The screener will then show you a list of stocks that meet your criteria. For example, if you’re interested in high-growth stocks, you’d want to filter the screener by company earnings growth rate.
For example, if you’re interested in high-growth stocks as we mentioned earlier, you’d want to filter the screener by company earnings growth rate. This will show you a list of stocks that have had strong earnings growth in recent years. You can then research these stocks further to see if they meet your other investment criteria.
Invest in your stocks.
Overall, using a stock screener can be a helpful way to find stocks that meet your specific criteria. It can also help you to narrow down your choices and make it easier to find the best stocks to invest in. Simply determine what kind of stocks you want to invest in first, then use the stock screener to filter stocks based on those criteria. By following these steps, you can start investing in the right stocks for your portfolio. Just remember, screeners are helpful, but you still need to do your own research to determine the right investments for you.