Penny stock screener

Best Penny Stock Scanners

First, Stock Scalpers LLC. does not receive any reimbursement from either company we will reference, they are simply the two best tools we have come across for active traders. We use Trendspider and Finviz every single day. One is paid and the other is free, both are amazing.

Let’s start with Trendspider. Trendspider is an absolutely fantastic site. They offer a good screener, backtesting, AI trend analysis, multi-time frame analysis and a TON of other features. However, it is a paid service. They offer a free trial, and after I tried it I never looked back. If you buy the product the company will teach you how to use it, so we won’t go over it here.

All the charts I share come from trendspider, but a lot of the available data isn't sharable in screenshots, it is absolutely worth a look for yourself. 

Finviz offers a free screener that quite frankly can’t be beat. They have a paid option, but we’re here to talk about the free one! (register with your email and you can save your settings even with the free version)

Let’s talk about setting up the screener on Finviz to find great penny stocks. 

Setting up Finviz
A

Register for a free account and then press “screener” on the bar running across the top of the window.

Next, click on the “all” tab so that all of the available filters are shown.

 

All of the yellow filters have been changed, we will go through each:

 Market Capitalization

This is a measure of the size of a company. It can be calculated by multiplying the current share price by the shares outstanding. This is a no brainer, a small company can grow exponentially faster than a large one. Small companies can double or triple their sales in a year, larger companies simply don’t grow that fast.

I like to scan for companies under 300M AND scan for companies under 50M (Nano setting)

Price

This is simply to filter out stocks above or below a certain price. I generally scan for stocks less than $10 and also less than $5. Set this to whatever value fits your style of trading.

Beta

Beta is a measure of the volatility within a given ticker. That is to say it is a comparison of how much a given stock’s price moves as compared to the overall market.

Beta < 1 means the stock is LESS volatile than the market. 

Beta = 1 means the stock moves WITH the market.

Beta > 1 means the stock is MORE volatile.

This means a stock with a beta of 1.5 is 50% more volatile than the overall market. This is about the sweet spot I like. Feel free to experiment, it's your trade after all! I use a higher beta because I want to find stocks that will really move, it doesn't do any good to trade a flat stock.

Note: the beta changes every day.

Debt/Equity

This one is pretty simple. The lower the debt to equity ratio the less debt and more cash a company has. Companies with lots of cash are run well and have an ADVANTAGE. Companies with a lot of cash can buy other companies, support R&D and anything else they want to do.

Volume

You can choose here between average and current volume.I like to filter by current volume, because I want to see where the money is! It does zero good to find a stock, find a good position and then find out nobody wants to buy when you’re ready to sell. I generally set the volume to greater than 400 or 500k. Average volume is also important, because you don’t want to get caught in a pump and dump. Some companies will hire promoters to bring volume influxes, so it is important to distinguish an opportunity from a scam. 

Float

1.5 is 50% If you click on the “ownership” tab you can filter by float. I love low float penny stocks. Price reacts much faster when supply is restricted!

Technical Indicators

You can also filter by technical indicator on finviz! I don’t have any set other than “gap” because I LOVE trading gaps. But it can be set to scan for all sorts of indicators, so just pick whichever one suits your particular style!



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Virginia Beach, Virginia