When we are looking for stocks to invest in, we need to have a way to narrow the list down. In other words, we need to eliminate stocks that we don't think will be good investments. The definition of a good investment varies from person to person, but in this section, we will use some basic criteria to reduce our master list of stocks to just a few that we think might make good prospects. Once comfortable with the process, we encourage you to modify the criteria based on your own opinion of what defines a stock worth investing in. Once we have our prospects, we will analyze their historical prices and see what conclusions we can draw from them.
We will start with the finviz
dataset as it was at the end of the previous section, along with the sector and industry averages columns, the binary undervalued columns, and the index values that summed up the values in the binary columns.
In addition to the packages we have used so far in...