The red flags while deciding on a stock

There are many super bull stocks in the U.S. market, I missed the opportunity to buy before it broke out due to inexperience. Eventually, I saw the wonderful performance of big bull stocks in the news and information, I was secretly regretting that I didn't buy them in time. Since then, I have been paying attention to stock selection indicators.
I usually use moo stock selection tool to select the super big stocks that are temporarily unknown among stocks. Now, I use the tool to show you.
We need to set the following screening conditions in the stock screener:
1. Higher net profit growth rate (≥30%)
Higher net profit growth rate is more attractive to investment capital.
2. Higher price-to-earnings ratio (≥60)
The high price-earnings ratio shows that many professional investment institutions on the market have greater confidence in its rapid growth prospects.
3. Fewer shares outstanding (≤1billion)
It is best not to have too many shares in circulation, so that institutional investors holding positions will be more likely to raise the stock price.

At this time, we can see the results from the filter, such as $Switch Inc(SWCH.US)$ $Netflix(NFLX.US)$ $Zoom Video Communications(ZM.US)$
After sharing my stock selection strategy, now I will talk about my red flags while deciding on a stock:
1. Stock trading volume
I think that stocks with daily trading volume of less than 100 million dollars should not be participated. Due to the existence of short selling in US stocks, it’s very likely that some stocks will be manipulated.
2. Plunged stocks
When a stock plummets, there is a high probability that the company’s fundamentals have undergone tremendous changes. At this time, you must be cautious and not buy it at the bottom. For example, $New Oriental(EDU.US)$ $TAL Education(TAL.US)$ .You can earn less, but you can't put yourself in a dangerous place because of temporary greed.

Finally, I want to share some of my own experience. There are thousands of stocks in the U.S. stock market. Why is there a large amount of funds that continue to pursue $Tesla(TSLA.US)$ ? Because Tesla's products, models, and appeal are constantly proving itself. Stock selection is simple, but it is very difficult to operate.

If you like and agree with my point of view, welcome to interact with me and follow me

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