Stock screeners refer to automated tools for finding stocks that qualify for the criteria that you set. In simple words, they work to refine thousands of potential penny stock investments and filter them down to hundreds or even dozens, based on the investor’s search parameters.
Hence, they serve as incredibly valuable tools for a potential investor who does not want to waste his time and money.
Screeners provide flawless and precise results to help investors make the right decisions. For instance, if you want to explore shares between two and three dollars, an efficient screener will provide you with a list of all stock that lie within your desired criteria and eliminates the rest of the choices.
There are hundreds of free and paid online stock screeners to help you with your penny stocks investment journey. There are major financial websites including Google Finance and Yahoo! Finance along with many other stockbrokers to offer a better picture of your potential investments.
However, some stock screeners also have a few limitations. It is true that a powerful stock screener is capable of assessing and filtering data according to the price and other variables; however, they are incapable of eliminating shares based on anything other than the data that is related to the stock itself.
All information related to underlying companies and their prospects is beyond the capabilities of a screener. All in all, a penny stock screener continues to be a beneficial source for a potential investor.
If you are looking for a powerful screener to filter your desired penny stocks, the process of choosing a strong screener can be challenging. But the hard work is sure to pay off.
One of the biggest challenges when using a penny stock screener is to know the criteria for your search. Since there are too many variables to take care of; there are endless possibilities for different combinations.
This reason is why a good screener is flexible and provides just the kind of information you need. A few websites and screeners also have predefined stock screens to assist investors so that they know what variable they should enter to get accurate results.
Although there are many paid screeners available to help investors, you can easily choose a free tool to find penny stocks. The only feature that you need to look for in a screener is that it is helpful in personalizing and filtering your search according to your preferences.
Since these screeners are free to use, anyone can easily access them by simply logging on to the internet. All screeners are not created equally and offer different features to their users. Let us take a look at three of the best free screeners that are available to help potential investors choose wisely.
These screeners are designed to help both budding and season investors to save time and pick the stock within their financial status. The three most popular and free screeners to launch your penny stocks investments are:
This stock screener is probably the most popular and widely used. Although all kinds of investors use the screener, it is particularly designed to help amateurs and beginners to assist in their investment ventures.
The user-friendly features mean everything is easy to comprehend. This reason is why it is immensely popular amongst budding investors who want to use it for both fundamental and technical analysis. You are sure to get precise and accurate results every time.
Since it is free; you have the freedom to spend more on buying shares rather than paying for the screener itself. Users can view top winners and top losers even if they are on home screen. The screener also alerts users of those that have been exhibiting an unusually high volume.
Google finance is another popular and helpful screener to fuel your investment passion. Since it has a plain look and easy to use features; it is pretty simple to use.
Just like the search engine, Google Finance is open to anyone and does not charge you for providing accurate results. Although it has minimal technical filters, users can still use to conduct their search without any complications.
This handy screener allows users to produce their very own watch list in a short period. The highly intuitive screener is fairly convenient to use and allows you to view full stock's symbols when you begin to type one.
This step is helpful as you get to know about many other stocks that you did not know about, previously. It is one of the best screeners to research stocks within several different parameters including price, volumes, and graphs.
All screeners are meant to help users with their user-friendly features and parameters. However, before selecting a screener to help you look up for stocks, make sure you take care of the following things.
Most stock screeners only feature quantitative factors and do not offer any qualitative factors. This step means that when you use a screener, you do not get to know any recent updates or past information about a pending lawsuit or customer satisfaction problems.
Moreover, screeners also utilize databases that update of irregular schedules. Make sure the data that you are looking for is current and fresh. If a screener fails to provide recently updated results, your search could be meaningless.
There are many industry-specific bind spots for which you should look out. For instance, when a user is looking for low P/E valuations, he should not expect too many tech companies to show up in the results.
Before using a stock screener to assist in your penny stocks investment venture, remember that screeners do not provide anything but results within your desired criteria. They do not offer any information about the prospects of the stocks.
However, they are incredibly functional tools to save your time and filter your search to provide updated and accurate search results for free.