- Stock Screener
- A tool that investors and traders can use to filter stocks based on user-defined metrics. Stock screeners are offered on many websites and trading platforms, and they allow users to select trading instruments that fit a certain profile set of criteria. For example, users are able to screen for stocks by data including price, market capitalization, P/E ratio, dividend yield and 52-week price change percentage, average volume and average five-year return on investment (ROI). Some trading platforms and software allow users to screen using technical indicator data. For example, one could filter for stocks that are trading above their 200-day moving average or whose Relative Strength Index (RSI) values are between a specified range.
Investors can find trading instruments that meet a specified set of criteria by using a stock screening tool. Investors use screeners to find stocks that are poised to perform well over time. Active traders may use stock screening tools to find high probability set-ups for short-term positions. Users can enter a varying number of filters; as more filters are applied, fewer stocks will be displayed on the screener. Stock screeners allow investors and traders to analyze hundreds of stocks in a short period of time, making it possible to weed out those stocks that don’t meet the user’s requirements and focus on the instruments that are within the user-defined metrics.
Investment dictionary. Academic. 2012.