--- title: "Use LongbridgeAI to screen for \"deeply fallen and rebounding\" established stocks + a practical guide to options strategies" type: "Topics" locale: "en" url: "https://longbridge.com/en/topics/43311667.md" description: "Using LongbridgeAI to screen for 'deep decline and rebound' established stocks + practical guide to options strategies. Longbridge granted me StockPro AI Pro access, so I tested it over the weekend and compared the results with other AIs; I thought it was pretty good. Investing is a mathematical problem from a certain perspective: understand what you are doing, at least seeking certainty amidst uncertainty. You need your own judgment. Although the recommendation included two targets, I only chose one: ORCL. I bought today because I'm afraid of missing out (FOMO). At the same time, I'm worried that it has already risen significantly, concerned about a pullback, and the impact of tomorrow's economic data release..." datetime: "2026-08-10T14:51:11.000Z" locales: - [en](https://longbridge.com/en/topics/43311667.md) - [zh-CN](https://longbridge.com/zh-CN/topics/43311667.md) - [zh-HK](https://longbridge.com/zh-HK/topics/43311667.md) author: "[不奋东西](https://longbridge.com/en/profiles/14442740.md)" --- # Use LongbridgeAI to screen for "deeply fallen and rebounding" established stocks + a practical guide to options strategies Using LongbridgeAI to screen "Deep Drop & Recovery" Blue-Chip Stocks + Options Strategy Practical Guide Longbridge granted me StockPro Pro access. I tested it over the weekend and compared the results with other AIs, finding them quite satisfactory. Investment is, from a certain perspective, a mathematical problem. It requires understanding what you are doing, at least seeking certainty amidst uncertainty. You need your own judgment. Although the recommendation included two tickers, I only chose one: ORCL. I bought today out of fear of missing out (FOMO). At the same time, I am concerned that it has already risen significantly, worrying about a pullback and the impact of tomorrow's economic data release, so I decided to buy in batches. ## Introduction As a US stock investor, I have always been looking for those "blue-chip companies with solid fundamentals but significant stock price pullbacks and early signs of recovery." These tickers have a solid business foundation as a safety cushion and ample room for rebound to provide elasticity. Recently, I completed a full screening and analysis process using LongbridgeAI, from initial screening to deep fundamental analysis, and finally to LEAPS options strategy design. The entire process was very efficient. This article will fully review my analysis process for reference by fellow Longbridge community members. ## Step 1: Define Screening Criteria I presented my initial requirements to LongbridgeAI: > **Find old-line companies similar to IBM, MRVL, and ORCL that have dropped nearly half, yet maintain good fundamentals and show signs of stock price recovery.** LongbridgeAI helped clarify the screening criteria: - Drawdown from 52-week high ≥25% - Stable fundamentals (revenue growth, profit margin, cash flow) - Recent signs of recovery (positive 10-day gain) - Reasonable valuation or at historical lows ## Step 2: Initial Screening + Comprehensive Scoring LongbridgeAI pulled price, valuation, and financial data for candidate tickers via API and performed comprehensive scoring. The screened **8 core tickers**: Rank Ticker Business Direction Distance from 52W High PE (Current) PE (5Y Median) Comprehensive Score 1 **ACN** IT Consulting \-38% 14.5 27.3 **8.2** 2 **ORCL** Enterprise Cloud/Database \-57% 24.3 31.5 **8.1** 3 **NOW** Enterprise ITSM \-36% 72.8 139.0 **8.0** 4 **ADBE** Creative Software \-29% 14.6 37.9 **7.9** 5 **CRM** CRM/AI Agents \-28% 19.1 71.6 **7.7** 6 **SAP** ERP/Cloud \-30% 25.4 33.4 **7.3** 7 **QCOM** Mobile/AI Chips \-35% 18.5 17.2 **6.9** 8 **SNPS** EDA \-34% 100.6 58.8 **6.9** **Key Findings**: ACN and ORCL scored highest overall, mainly because: - ACN: PE of 14.5 is only half of the 10-year median, 3.8% dividend yield, Vanguard increased holdings by 40 million shares - ORCL: Largest rebound space in the field at 133%, explosion in AI Data Center CapEx, FY2026 revenue +17% ## Step 3: Deep Fundamental Analysis For each ticker, a deep breakdown was conducted. LongbridgeAI called upon: - Company Basic Info API - Financial Statements API (Income Statement, Balance Sheet, Cash Flow Statement) - Financial Metrics API - Historical Business Revenue Composition - Shareholder Information - Latest News Updates ### ACN (Accenture) Deep Analysis Summary **Financial Performance**: - FY2025 Revenue $69.7 Billion (+7.4%), Operating Margin 15.6%, Net Income $7.7 Billion - Operating Cash Flow $11.5 Billion (+26%), Free Cash Flow $10.9 Billion, FCF Margin 15.6% - Cash $11.5 Billion, Net Cash Position **Valuation**: - PE 14.5 (10-year low, only 53% of the median) - PS 1.5 (10-year low) - PB 3.5 (10-year low) **Institutional Moves**: Vanguard increased holdings by 40 million shares; BlackRock/Morgan Stanley/JPMorgan Chase increased holdings **Catalysts**: Large AI transformation orders from financial firms like UniCredit; Explosion in demand for AI consulting services **Risks**: AI automation of entry-level consulting work (structural threat); Goodwill $22.5 Billion accounts for 35% of total assets ### ORCL (Oracle) Deep Analysis Summary **Financial Performance**: - FY2026 Revenue $67.4 Billion (+17%), Operating Margin 33.2% (5-year high), Net Income $17.1 Billion (+37%) - Operating Cash Flow $32.0 Billion, but CapEx $55.7 Billion (crazy construction of AI Data Centers), FCF turned negative **Valuation**: - PE 24.3 (23% below 5-year median) - PS 6.1 (close to median) - Founder Larry Ellison holds 40.2% stake **Institutional Moves**: BlackRock reduced holdings by 4.55 million shares; but Capital Research/Geode/UBS/Morgan Stanley increased holdings **Catalysts**: Explosion in AI Data Center demand; OCI cloud revenue high growth; Long-term portion of deferred revenue surged 307% **Risks**: Whether the "burning cash model" of CapEx $55.7 Billion/year + Debt $122.3 Billion can generate sufficient returns ## Step 4: Options Strategy Design After determining ORCL and ACN as the final two tickers, I had LongbridgeAI perform LEAPS options analysis. ### Why choose the ORCL + ACN combination? Dimension ORCL (Oracle) ACN (Accenture) **Rebound Space** \*\*133%\*\* (Largest in field) 62% (Largest in second tier) **Core Logic** Explosion in AI Data Center CapEx PE 14.5 (10-year low) + 3.8% dividend floor **Return Elasticity** +318% when recovering 75% +231% when recovering 75% **Certainty** Moderate (CapEx risk) **Highest** (Double insurance of valuation + cash flow) **Role Positioning** **Offensive Spear** **Defensive Shield** **One bets on elasticity, one bets on certainty; the combination balances offense and defense.** ### Expiration Date Selection: Why March 2027 (7 months)? I had LongbridgeAI compare three expiration dates: February, March, and June: Expiration ORCL Premium Breakeven Return at 75% Recovery Monthly Decay Time Buffer Feb (6 months) $26.77 +13.5% +383% $4.46/month Tight (5 months to recover) **Mar (7 months)** **$29.40** **+15.2%** **+318%** **$4.20/month** **Adequate (6 months to recover)** Jun (10 months) $35.56 +19.4% +228% $3.56/month Excessive (Premium too expensive) **Conclusion**: March offers 1 extra month of buffer compared to February, costing only 10% more premium; it is 20% cheaper than June while offering 40% higher returns. ### Recommended Contracts Ticker Expiration Strike Price Premium Delta Breakeven **ORCL** March 2027 **$140** (Lightly ITM -5%) ~$29.4/share 0.65 $169 (vs Current Price +15%) **ACN** March 2027 **$165** (Lightly ITM -6%) ~$32.2/share 0.67 $197 (vs Current Price +13%) **Why choose lightly In-The-Money (ITM) rather than ATM?** - Delta ~0.66 means 66% of the premium is intrinsic value - Lower proportion of time value, stronger resistance to theta decay ## Step 5: Position Building Rhythm Design Worried about "missing out," LongbridgeAI provided a **batched position building strategy**: Total budget $50,000, split into two batches: ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━ Batch 1: Buy now ($16,500, 33%) ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━ ORCL: ~340 shares × $29.4 = ~$10,000 ACN: ~200 shares × $32.2 = ~$6,400 ✅ Solves "fear of missing out" — if the stock price rises directly without pulling back, your 33% position is making money ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━ Batch 2: Buy when August pulls back 8-12% ($33,500, 67%) ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━ Assuming ORCL pulls back to ~$132 (-10%), ACN pulls back to ~$158 (-10%) ORCL: ~870 shares × ~$25 (cheaper premium) = ~$21,750 ACN: ~530 shares × ~$24 (cheaper premium) = ~$12,700 ✅ Cheaper premium = More shares = Larger return multiple ⚠️ If the pullback is deeper than expected (-15%), Batch 2's return multiple is larger ⚠️ If no pullback occurs, your existing 33% position won't completely miss out ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━ Total: ORCL ~1,210 shares + ACN ~730 shares = Investment ~$50,850 ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━ ## Step 6: Scenario Analysis LongbridgeAI provided portfolio returns under different scenarios: Scenario ORCL Target Price ACN Target Price Portfolio Value Return Rate **Stock Price Sideways** (No rise, no fall) $147 $176 ~$16,500 **\-67%** **Recover 50%** $244 $231 ~$173,000 **+247%** **Recover 75%** $293 $258 ~$252,000 **+405%** **Direct Rise 30% (No Pullback)** $191 $228 ~$108,000 **+116%** **Risk Scenarios**: - Best: Shallow pullback (-5%), rapid 75% recovery → **+580%** - Base Case: 10% pullback, 50% recovery → **+195%** - Conservative: 10% pullback, 30% recovery → **+45%** - Pessimistic: 15% pullback, only 20% recovery → **\-55%** - Worst: 15% pullback, no recovery → **\-100%** ## Summary: Insights on Using LongbridgeAI ### 1\. Data-Driven, Avoiding Subjective Speculation The entire analysis process was based entirely on data: - Prices, valuations, and financial data all came from APIs - Comprehensive scoring model objectively quantified - Institutional holding changes clearly visible ### 2\. Multi-Dimensional Analysis, No Key Information Missed LongbridgeAI considered simultaneously: - Fundamentals (Revenue, Profit, Cash Flow) - Valuation (PE/PB/PS vs Historical Comparison) - Technicals (Price Position, Momentum Indicators) - Funds (Institutional Holding Changes) - Catalysts (Latest News Updates) ### 3\. Flexible Strategy Design, Adapting to Different Scenarios From initial screening to options strategies, LongbridgeAI provided: - Comparison of multiple expiration dates - Comparison of multiple strike prices - Comparison of multiple position-building rhythms - Multiple scenario analyses ### 4\. Adequate Risk Warnings LongbridgeAI warned of risks at every stage: - Maximum option loss = Total premium paid - ORCL's CapEx risk - ACN's AI disruption risk - Goodwill impairment risk - Recommend setting take-profit lines ## Advice for Community Members 1. **Clarify your investment logic**: Are you betting on elasticity or certainty? Short-term rebound or long-term recovery? 2. **Build positions in batches**: Do not go all-in at once. Use a strategy of buying 1/3 now + 2/3 waiting for a pullback to balance the risk of missing out. 3. **Choose lightly ITM options**: Delta ~0.65-0.70, low time value proportion, resistant to decay. 4. **Set take-profit lines**: When returns reach +100%, sell at least half to lock in profits. 5. **Continuous Tracking**: Monitor earnings reports, institutional holding changes, and catalyst progress. ## Appendix: LongbridgeAI Tools Used in This Analysis - **Price Data API**: Real-time quotes, K-line data, technical indicators - **Financial Data API**: Income Statement, Balance Sheet, Cash Flow Statement - **Valuation Metrics API**: PE/PB/PS vs Historical Percentile Comparison - **Institutional Holdings API**: Major Shareholder Holding Changes - **News API**: Latest News Updates and Catalysts - **Options Pricing Model**: Black-Scholes Model calculation for Premium, Delta, Breakeven - **Scenario Analysis**: Multi-Scenario Return Simulation **Disclaimer**: This article is merely a demonstration of the investment analysis process and does not constitute investment advice. Options trading carries high risk and may result in the loss of all principal. Investors should make prudent decisions based on their own risk tolerance. ### Related Stocks - [ORCL.US](https://longbridge.com/en/quote/ORCL.US.md) - [ADBE.US](https://longbridge.com/en/quote/ADBE.US.md) - [QCOM.US](https://longbridge.com/en/quote/QCOM.US.md) - [MRVL.US](https://longbridge.com/en/quote/MRVL.US.md) - [NOW.US](https://longbridge.com/en/quote/NOW.US.md) - [ACN.US](https://longbridge.com/en/quote/ACN.US.md) - [CRM.US](https://longbridge.com/en/quote/CRM.US.md) - [IBM.US](https://longbridge.com/en/quote/IBM.US.md) - [SAP.US](https://longbridge.com/en/quote/SAP.US.md) - [ORCL-D.US](https://longbridge.com/en/quote/ORCL-D.US.md) ## Comments (5) - **幻想日进斗金 · 2026-08-11T05:30:38.000Z**: LongbrideAI is indeed very user-friendly. Does it currently have any impact on trading? - **卖飞专业户** (2026-08-11T05:31:05.000Z): 🇭🇰Block or 🪜open global to understand, buddy - **LongbridgeAI · 2026-08-11T03:15:15.000Z**: Hello, the analysis you wrote using the AI Equity Card is really detailed. You didn't miss a single step: screening criteria, scoring, fundamentals, and scenario deduction 🎉 We'd like to include it in our recent user case study posts, noting your nickname and linking back to the original post. Woul - **不奋东西** (2026-08-11T03:16:28.000Z): No problem. - **MILES · 2026-08-10T23:45:38.000Z**: mark