China Idea Generation

china-idea-generation

Purpose

Systematically surface new A股投资机会 through quantitative screens, thematic analysis, and pattern recognition.

Data Sources

Primary: iFind MCP (Tier-1 付费) / AkShare MCP (Tier-2 免费备选)

get_market_overview()                    → Top gainers, losers, most active
get_quote(ticker)                        → Price, PE, PB, market cap
get_historical_data(ticker)              → Price trends, momentum
get_financials(ticker, "income")         → Financial metrics
get_financials(ticker, "balance")        → Balance sheet health
get_industry_stocks(industry="...")      → Peer comparison

Secondary Screening Data

Workflow

Step 1: Define Screen Criteria

Investment philosophy alignment:

• Value vs Growth vs GARP vs Momentum
• Market cap preference (large / mid / small)
• Sector focus or sector-agnostic
• Liquidity requirements (turnover threshold)
• Risk tolerance (volatility, leverage, earnings stability)

Screen parameters (A-share specific):

Step 2: Quantitative Screens

Screen 1: Deep Value (深度价值)

Filters:
- PE (TTM) < 15x AND PB < 1.5x
- ROE > 10% (past 3 years average)
- Debt/Equity < 80%
- Revenue growth > 0% (not declining)
- Market cap > 30亿

Output: Value candidates with potential mispricing

Screen 2: Growth at Reasonable Price (GARP)

Filters:
- PEG < 1.0 (PE / growth rate)
- Revenue growth > 20%
- Gross margin > 30%
- ROE > 15%
- Market cap > 100亿

Output: Quality growth at reasonable multiples

Screen 3: Momentum (趋势跟踪)

Filters:
- Price above 20-day MA AND 60-day MA
- Price within 10% of 52-week high
- Volume above 20-day average
- RSI between 40-70 (not overbought)
- Upward earnings revision

Output: Momentum names in uptrends

Screen 4: Turnaround (困境反转)

Filters:
- Recent loss or margin compression
- New management / strategy announced
- Order book recovering
- Debt restructuring completed
- Insiders buying

Output: Potential turnaround candidates

Screen 5: Dividend Yield (高股息)

Filters:
- Dividend yield > 3%
- Payout ratio < 60%
- FCF positive and stable
- Debt/Equity < 100%
- Stable earnings history

Output: High-quality income names

Screen 6: Special Situations (事件驱动)

Filters:
- Lock-up expiry within 3 months (限售解禁)
- M&A announcement pending
- Regulatory catalyst (集采结果, etc.)
- Index inclusion/exclusion
- STAR/ChiNext eligibility

Output: Event-driven opportunities

Step 3: Thematic Research

Identify emerging themes:

Thematic screening approach:

1. Define theme and investable universe
2. Map A-share companies to theme
3. Rank by exposure and quality
4. Identify pure-plays vs beneficiaries

Step 4: Technical Analysis

A-share technical considerations:

Chart patterns to watch:

• 突破 (breakout) — above resistance
• 回踩 (pullback to support) — entry opportunity
• 双底/头肩 (double bottom/head & shoulders) — reversal signals
• 量价背离 (volume-price divergence) — trend exhaustion

Step 5: Fundamental Deep Dive

For each candidate:

1. Business model review: How does company make money?
2. Financial health: Balance sheet, cash flow, earnings quality
3. Competitive position: Market share, moat, pricing power
4. Management quality: Track record, capital allocation
5. Valuation: vs peers, vs history, vs international peers
6. Catalyst: What could re-rate the stock?

Red flag checklist:

• 商誉占比过高 (>30% of equity)
• 应收账款增速 > 收入增速
• 经营现金流持续为负
• 大股东质押比例过高 (>50%)
• 审计意见非标准无保留
• 频繁变更会计师事务所
• 关联交易占比高

Step 6: Build the Ideas List

Standard format:

Conviction levels:

• High: Strong thesis, clear catalyst, limited downside
• Medium: Good thesis, catalyst timeline uncertain
• Low: Exploratory, needs more research

Step 7: Monitor & Update

Ongoing tracking:

• Weekly price and news updates
• Catalyst tracking (china-catalyst-calendar)
• Thesis validation / invalidation
• Position sizing recommendations

Update triggers:

• Earnings results
• Material news (M&A, guidance, regulation)
• Price moves >15% in a week
• Thesis breaking or confirming

China-Specific Screening Considerations

Market Structure

Common A-share Investment Styles

Sector-Specific Screening

Quality Checks

Before delivering ideas list:

• Screen criteria documented and reproducible
• Each candidate has fundamental backing
• Catalysts identified for each idea
• Risk factors clearly stated
• Conviction levels assigned
• Liquidity verified (tradable)
• Regulatory/compliance review passed

  Data Source Mode Switch: Set env var IFIND_DATA_SOURCE_MODE to control data source preference.

  • ifind-only (strict): Use iFind only, error if unavailable
  • ifind-fallback (default): iFind preferred, fallback to AkShare
  • akshare-only, wind-only (Wind only), wind-fallback (Wind first, fallback to iFind → AkShare): Skip iFind, use AkShare only