All screens

Quality & Compounders

Capacity Expansion

Capacity Expansion is a Quality & Compounders screen. It checks every NSE-listed stock against 2 conditions computed from nightly data, after excluding heavily pledged promoters and very small market caps. This page explains the rule, each figure and its source. It lists no stocks and is not advice.

What it does and why

When a company doubles its fixed assets — factories, machinery, plants — it is making a bet on its own future. Capital expenditure at this scale is difficult to reverse and signals that management has strong conviction about demand growth. Companies that expand capacity while maintaining healthy operations are investing in the next phase of their growth story. This screener finds companies that have made such a commitment: either doubling fixed assets over 3 years or growing them by at least 50% in a single year. The risk is that the capacity comes online into a weaker demand environment — capex is a forward bet, not a guarantee.

The rule, step by step

A stock must satisfy every condition below. Conditions are grouped under the pillar they test.

Capital Investment

  • Fixed Assets Growth YoY > 15
  • Revenue Growth YoY > 0

Hard excludes

  • Promoter pledge above 30% of the promoter's holding
  • Market cap below ₹500 crore
Passes the screen

Ranked by Fixed Assets Growth YoY, highest first.

The figures it uses

Fixed Assets Growth YoY

Used in a condition
Formula
(Fixed assets now − prior year) ÷ prior year × 100
Input fields
fixed assets
Source of record
FinEdge · /api/v1/financials/{symbol}?statement_code=bs&period=annual
Refresh
Recomputed nightly (06:30 IST job); rows older than 3 days are excluded from screens

Revenue Growth YoY

Used in a condition
Formula
(Latest annual revenue − prior year) ÷ prior year × 100, only when the prior year's revenue is positive
Input fields
revenue
Source of record
FinEdge · /api/v1/financials/{symbol}?statement_code=pl&period=annual
Refresh
Recomputed nightly (06:30 IST job); rows older than 3 days are excluded from screens

Promoter Pledge

Hard exclude input
Formula
Pledged shares as a share of the promoter's own holding: pledgedSharesPct ÷ promoter holding × 100; blank when the quarter is not listed
Input fields
pledgedSharesPct, promoter holding
Source of record
FinEdge · /api/v1/shareholdings/summary/{symbol}?period=quarterlyFinEdge · /api/v1/shareholdings/pattern/{symbol}?period=quarterly
Refresh
Recomputed nightly (06:30 IST job); rows older than 3 days are excluded from screens

Market Cap

Hard exclude input
Formula
Close × paid-up equity shares ÷ 10,000,000 (₹ crore)
Input fields
close, paidUpEquityShares
Source of record
Upstox · public historical candles, NSE_EQ|{ISIN} (no auth)FinEdge · /api/v1/daily-quotes/{symbol} (fallback)FinEdge · /api/v1/shareholdings/summary/{symbol}?period=quarterly
Corporate actions
Adjusted for corporate actions before use
Refresh
Recomputed nightly (06:30 IST job); rows older than 3 days are excluded from screens

What each figure means

Fixed Asset Growth (3 Years, %)

The percentage change in net fixed assets (property, plant, and equipment) over the past 3 years. A value of 100% means the company has doubled its fixed asset base over three years.

High is better

Fixed Asset Growth (1 Year, %)

The percentage change in net fixed assets compared to the prior year. A value of 50% means the company has added half again as much capacity as it had a year ago.

High is better

Capital Expenditure / Revenue (%)

Total capital expenditure as a percentage of annual revenue. Measures the intensity of investment relative to the current size of the business.

High is better

Try the rule

Type hypothetical values to see which conditions they satisfy. These are not real stocks and nothing here is stored.

  • Fixed Assets Growth YoY > 15—
  • Revenue Growth YoY > 0—

Enter values to begin

How sensitive is it?

How many stocks pass if this threshold were set differently. Counts only; no stocks are named.

A worked example

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Evidence

What the harness measured

no_verified_figureNot yet tested

We have not measured this screen yet, so there is no record to explain.

Live monitoring

Not yet testable — 5 of 6 points needed to chart a rolling information coefficient.

  • 5-day IC -0.065 · signal date 2026-10-13 · n 4477
  • 22-day IC -0.000 · signal date 2026-09-10 · n 3881

This is a historical, statistical measurement produced by FINOME TECHNOLOGIES PVT LTD's research harness on past data. It is not a prediction, and past results do not indicate future results. The universe is today's Nifty 500 constituents, so the sample is affected by survivorship bias. It describes how a screen's selections behaved in the past and does not constitute investment advice or a recommendation.

Run this screen

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Rule version 1.0.0

Questions

How is this screen calculated?
Each stock is tested against 2 conditions using figures computed from exchange prices and company filings, adjusted for corporate actions. The rule is versioned; this page shows version 1.0.0.
How often does the screen update?
The figures are recomputed once each trading day after the nightly compute. A stock whose figures are more than three days old is left out rather than shown stale.
Is this investment advice?
No. This is educational material describing a screening method. It does not recommend any security and does not consider your circumstances.
Educational use only — GoQuant is a research tool. This page explains a screening method and is not a recommendation. Investment advice is provided by FINOME TECHNOLOGIES PVT LTD (AltQube), SEBI-registered Investment Adviser, registration no. INA000018373, under a signed advisory agreement and after a risk profile. Past performance is not indicative of future results.