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Discovery Engine: Smart Stock Screener

Algorithm & Data Methodology

Our scoring engine uses rigorous data cleaning, multi-market quotas, and industry-standard financial models to filter out noise and highlight true opportunities.

Data Integrity & Pipeline

We aggregate data from SEC EDGAR, Yahoo Finance, LSE, and HKEX. We strictly differentiate between 0 and Null (Missing Data). A missing financial metric is displayed as N/A and receives a neutral score, rather than a fake 0.0 that skews analysis. We guarantee quota representation for US, UK (LSE), and Hong Kong (HKEX) markets.

Smart Money Flows

We track capital flows using a Logarithmic Volume Scale. This ensures mega-cap indices (like SPY) don't dominate the rankings over smaller sectors (like Energy). Geo-mapping ensures accurate sector representation (e.g., China ETFs track HKEX stocks, not US ADRs).

Growth Stocks

Scoring is based on continuous Revenue and EPS growth rates. A Market Cap Bonus is applied because achieving high growth at a $1T+ valuation is significantly harder than at a $1B valuation. This prevents small volatile stocks from monopolizing the top ranks.

Financially Strong

Focuses on low Debt/Equity (D/E) and high Current Ratio. Companies with missing debt data are not given false "zero debt" scores. We filter out companies with unrealistic metrics (e.g., Current Ratio > 15) to ensure only true financial stability is rewarded.

Dividend Champions

We use a "Bell Curve" scoring for Yield: 4-6% is the sweet spot (Maximum score). Yields >8% are treated as high-risk (Dividend Traps). We strictly filter out companies with a Payout Ratio > 80%, as this indicates unsustainable dividends or potential cuts.

Value Gems

Based on Benjamin Graham's principles. We enforce strict P/B filters (0 < P/B < 3.0) to exclude overvalued or negative-book-value stocks. We calculate FCF Yield (Free Cash Flow / Market Cap) with currency anomaly protection to identify companies generating real cash.

Insider Activity

We only show "Net Buyers" (Total Buy Value > Total Sell Value). We filter by Title (CEO, CFO, Directors) and exclude corporate entities. Option exercises (Cashless exercises) are excluded from buy calculations to prevent false bullish signals.

Institutional Accumulators

We validate Institutional Value against Market Cap (< 1.5x Market Cap) to eliminate currency/data errors. We compare the latest 13F filing against the previous quarter's filing (not the previous month) to avoid false spikes caused by staggered reporting deadlines.

Micro Cap Stars

This scanner targets Future Stars in the $100M-$500M market cap range, applying a strict 3-Gate filtration system to separate high-potential growth from noise.

1. Liquidity Gate: Filters out dead stocks and pump-and-dumps by requiring a minimum price of $2 and average daily volume > $1M.
2. Survival Gate: Ensures financial viability. Companies must demonstrate Revenue Growth > 20% or have a Cash Runway > 2 years. Debt-to-Equity must be < 3.0.
3. Validation Gate: Looks for "Smart Money" confirmation. Points are awarded for recent Insider Buying and Institutional Ownership.

Scoring weights: Revenue Growth (40%), Cash Runway (30%), Insider Buying (15%), Institutional Owners (15%).