Free Stock Ratings: how the A–F House Rating works
ThetaGrade publishes free stock ratings for liquid US large caps. Each stock gets a 0–100 House Rating and a letter grade from A to F, built from SEC filing fundamentals and a small analyst-sentiment component, and ranked against peers in the same sector. A is the top 5% of the rated universe, B is 65+, C is 50–64, D is 35–49 and F is under 35. The full method is published.
Data as of .
What goes into the House Rating
Each factor is scored as a percentile (0–100) against stocks in the same GICS sector, then combined into six pillars with fixed weights:
| Pillar | Weight | Factors |
|---|---|---|
| Analyst sentiment | 7.5% | Consensus score (1–5), 90-day net rating shift |
| Growth | 30.83% | Revenue growth YoY (TTM), EPS growth YoY (TTM), Revenue acceleration |
| Profitability | 18.5% | Operating margin, 4Q gross-margin change |
| Balance sheet | 18.5% | Net debt / EBITDA, Current ratio, Interest coverage |
| Cash flow | 12.33% | FCF margin, FCF yield |
| Valuation | 12.33% | P/E (inverted), EV/Sales (inverted) |
If a factor has no usable data, it is left out and its weight is shared among the factors that do have data. No value is filled in. Each stock page shows how much of the method weight is backed by data.
The grade bands
| Grade | Rule |
|---|---|
| A | Top 5% of the rated universe by score, among names with at least 80% data coverage |
| B | 65 or higher |
| C | 50–64 |
| D | 35–49 |
| F | Under 35 |
Stocks below 80% data coverage keep their score-based grade (B to F) with a limited-data label. They are not eligible for grade A, the Weekly Picks or the CSP screen.
Looking for a Zacks Rank alternative?
The Zacks Rank is a widely followed 1–5 rating from Zacks Investment Research. It is built mainly around changes in analysts’ earnings estimates. The ThetaGrade House Rating takes a different approach, so it works best as a second, independent view rather than a substitute.
- Inputs: the House Rating leans on reported fundamentals from SEC filings (growth, profitability, balance sheet, cash flow and valuation). Analyst sentiment is a small, capped part of the score.
- Comparison group: every factor is ranked within the stock’s own sector, so a bank is compared with banks and a software company with software companies.
- Scale: a 0–100 score with A–F letter grades instead of a 1–5 rank.
- Transparency: the weights, factors, grade bands and data sources are all on the methodology page.
- Cost: the House Rating, grade and pillar scores are free for every covered stock.
How to use the ratings
- Start on the ratings page and browse stocks by grade and sector.
- Open a stock to see its pillar scores. A high overall grade can hide a weak pillar, such as a stretched balance sheet.
- Check data coverage and the next earnings date before relying on any grade.
- See how rule-based lists built from the ratings have done on the track record, losses included.
- Treat a grade as a starting point for your own research, not a decision.
Related
Educational content only, not financial advice. Ratings are rules-based summaries of published data and can be wrong or out of date.
Tickers to explore
Stocks currently near the top of the House Rating. Open any page to see the pillar scores, data coverage and next earnings date.
Lists update with each data refresh (as of ). Educational, not financial advice. See all grades on the ratings page.
FAQ
- Are ThetaGrade stock ratings free?
- Yes. The House Rating, letter grade and pillar scores for every covered stock are free to view on the ratings pages, with no account needed.
- What does an A grade mean?
- A is reserved for the top 5% of the rated universe by score. A stock also needs at least 80% data coverage to be eligible. B is 65+, C is 50–64, D is 35–49 and F is under 35.
- Is the House Rating a Zacks Rank alternative?
- It answers a different question. The Zacks Rank is a 1–5 rating from Zacks Investment Research built mainly on earnings estimate revisions. The House Rating is a 0–100 score built mostly from reported fundamentals, compared within each sector. Some readers use both as separate inputs.
- How often are ratings updated?
- Ratings are recalculated with each data refresh. Each stock page shows the data date, its pillar scores and its next earnings date.
- Is a rating a buy or sell recommendation?
- No. A rating is a rules-based summary of published data. It does not account for your finances, taxes or risk tolerance. This page is education, not financial advice.
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