EQUITIES LAB – Your Quantitative Solution
Equities Lab analyzes the stock market. Offering stock screening, charting, backtesting, watch list capabilities, and more, we are used by institutional and individual investors to perform fundamental and technical analysis of stocks. We also provide an educational platform with integrated grading for universities.
Quantitative Stock Screener and Backtester
Equities Lab lets you screen, backtest, and manage your stocks with an extensive library of visualization tools.
Our stock screener finds the stocks you want, using the quantitative criteria you set. Learn more about our stock screener.
Our backtester tells you whether your strategy generate alpha. Learn more about our backtester.
Our watchlists and portfolios keep your implementation on track. Learn more about how our watchlists and portfolios help manage your portfolio.
Bias Free Financials
Serious quantitative investors end up using Excel, one or more software packages, and lots of math. Use our complete financials on 18,000 stocks covering the last 20 years to validate your strategies– worry free. Our data comes from Morningstar, with macroeconomic data from Quandl, and we cover data from “Accounts Payable” through “Non Current Deferred Assets” to “Write Offs”. We also include “Market Cap”, Close, Volume, and PE in our hundreds of properties.
Fundamental Investing
Fundamental quantitative investment strategies would seem to be the answer, but does your trading strategy blend? More formally, do you make excess returns over the market by following your combination of factors? Validating this requires gigabytes of data, programming expertise, and attention to detail– all of which we have. We use a survivorship-bias-free, point-in-time dataset. This allows you to see what would have happened had you used your strategy in the past.
You’ll see the fundamentals that lead to your alpha, and be able to tell its source at a glance. But why stop there? You have Equities Lab, so you can always dig deeper. Maybe you’ll want to tinker with the rebalance period, altering it to quarterly, monthly, or biweekly on a whim. Perhaps stop losses, minimum holding periods, and other sanity checks are tools you wish to attach to your investment plan. You can see how your strategy would have done, what it bought, how each position did, and more. You can’t exactly backtest real life in Equities Lab, but you can come close.
Factor Analysis
Structure your formulas and ideas any way you want. You can test almost any financial anomaly with Equities Lab and see if it generates excess return. We can easily express any of the Fama French factors, see how Quality Minus Junk works, or create and validate your own anomaly. You get autocompletion, a helpful field and operator reference, and built-in help every step of the way. For instance, people like to use the Piotroski score to filter stocks. Piotroski score is a nine-point checklist, and a good Piotroski stock would have to match seven of these nine conditions.
Checking Piotroski score in Equities Lab is simple to do: it takes ten statements– nine for the condition, and one for the count and comparison. Similarly, finding the stocks that are the second-cheapest 10% of some valuation metric is painless. If you want to filter companies before you rank, and if you want to collate by industry or other segment, you just do it. It is literally easier to do than to describe. Here are the ten statements (we just took a screen grab of our built-in formula).
Cross-Sectional Insights
Investing in the stock market requires big data, which we have. We can summarize the state of the entire market in a few clear lines, in a few seconds. We can focus in on a sub sector, or a slice based on company size, or analyze one of the P/E quintiles in more detail. If you want to know whether highly leveraged companies are overvalued versus their historical average, or whether airlines are outperforming small cap technology, you can see it on a handy chart.
Comprehensive Financials
We give you access to information buried in the books of thousands of companies. For example, you can test the changing inventory levels and accounts receivable of all companies over 20 years using our Morningstar data set. We have the companies that trade today, as well as the ones that are but a distant memory. With Equities Lab, you can take these comparisons and use them as ranking criteria across all companies in a sector. Watch how this ranking changes over time as companies ossify or make breakthroughs, and select those companies that are moving in the right direction