Can I screen on free float?

Yes, you can screen on the Free Float Percentage, for example, to eliminate companies that are closely held by a single shareholder or a family.

Free Float shows the percentage of total Common Shares Outstanding which are “freely floated” on the stock exchange. Some shares are very tightly held by founding shareholders. As they are unlikely to be sold the number of shares outstanding is not a very clear representation of how much stock is actually available to be liquidly traded on the stock market. The Free Float is a better representation although some of the shares 'freely floated' could be held just as tightly by institutional or private shareholders as founders.

How is Free Float defined?

Free Float is defined as Total Shares - Treasury Stocks - Shares held by Strategic Entities). Strategic entities means that the shares are held by Government Agencies, Corporations, Holding Companies and/or individuals. This is where the shares are held with the intention of gaining market share and/or having control over the company, meaning that strategic investors do not primarily intend to earn short term gains from the shares through an increase in share price unlike, say, investment management companies.

A subscription to Stockopedia will be one of the best investments you'll ever make...

Here's what you'll get:
A decade of research into what works in stock markets
Millions of pounds of platform investment
Countless hours of research time saved
Access to hundreds of educational articles and ebooks
Over 30 talented professionals working flat out for you
A team of the very best bloggers acting as mentors
Saving you thousands in advisory fees every year
Stockopedia is the perfect solution for the time-poor individual investor looking for results
Starting at less than £21 per month

After your free trial, plans start at less than £21 per month. With a one month money back guarantee, there's no risk.

© Stockopedia 2021, Refinitiv, Share Data Services.
This site cannot substitute for professional investment advice or independent factual verification. To use it, you must accept our Terms of Use, Privacy and Disclaimer policies.