50 AI Stock Research Prompts for Beginners
From screening to deep-dive analysis. Practical, copy-paste prompts for researching Indian stocks, companies, sectors, themes and investment ideas with AI.
Introduction
Stock research can feel complicated. You may want to know:
- Which companies are growing consistently?
- Are profits backed by real cash flows?
- Is a stock expensive or undervalued?
- Is management allocating capital effectively?
- Is an industry entering a new growth cycle?
- Which of two companies is the better long-term business?
Traditionally, answering these questions means going through annual reports, financial statements, investor presentations, market data and multiple research tools.
AI can make the research process much easier — if you ask the right questions.
Instead of asking “Is this a good stock?”, you can ask AI to investigate specific aspects of the business, compare evidence and structure the research. That is the idea behind the prompts in this guide.
[COMPANY], [COMPANY A], [COMPANY B] and [SECTOR] with the names you are researching. Work through the six sections in order — from screening for ideas to comparing two finalists.
Screening
Use these to surface a shortlist of candidates worth deeper research.
1. Quality + Growth + Cash
Screen Indian listed companies with market cap above ₹2,000 crore where 5-year revenue CAGR is above 12%, 5-year PAT CAGR is above 15%, average ROCE over five years is above 18%, and operating cash flow has exceeded reported PAT over the same period. Exclude companies with rising leverage or persistent share dilution. Rank the survivors by the combination of growth, capital efficiency and cash conversion.
2. Self-Funded Compounders
Find Indian companies that have grown revenue and profit at more than 12% CAGR over the last five years while funding most of their expansion internally. Look for low external debt, positive cumulative free cash flow, stable or improving ROCE, and limited equity dilution. Identify the companies where growth appears least dependent on outside capital.
3. Margin + Asset Turnaround
Screen for companies where operating margin has expanded meaningfully over five years while asset turnover has also improved. Require positive revenue growth and ROCE above 15%. Highlight businesses where improvement in both profitability and asset utilisation suggests a genuine operating-quality upgrade.
4. Earnings Quality Screen
Find companies with strong reported profit growth but specifically test whether that growth is supported by operating cash flow, receivable discipline, inventory discipline and limited exceptional income. Flag companies where PAT growth materially exceeds cash-flow growth. Return a shortlist divided into “high-quality earnings”, “mixed”, and “questionable”.
5. Contrarian Re-Rating Screen
Find companies trading at a substantial discount to their five-year average valuation multiples, but where the latest two to four quarters show improving revenue growth, margins or cash generation. Require the balance sheet to remain sound. The objective is to identify stocks where fundamentals may be turning before the market has fully repriced them.
6. Promoter Confidence Screen
Identify companies where promoter ownership has remained stable or increased over three years, promoter pledging is negligible or declining, and institutional ownership has also been stable or rising. Combine this with improving ROCE, earnings and free cash flow. Highlight cases where ownership behaviour strengthens the investment thesis rather than using promoter holding as a standalone filter.
7. Small/Midcap Quality Discovery
Search Indian small- and mid-cap companies with market cap between ₹1,000 crore and ₹20,000 crore that have delivered at least 15% revenue CAGR and 15% PAT CAGR over five years, while maintaining ROCE above 18%. Exclude companies with weak cash conversion, excessive debt or frequent equity issuance. Rank them by quality of growth rather than absolute growth.
8. Magic-Formula-Inspired India Screen
Build an Indian version of a quality-at-a-reasonable-price screen using return on invested capital and earnings yield. Add minimum scale, positive free cash flow and acceptable leverage filters. Explain which companies qualify, what the screen captures well, and what it systematically misses.
9. Deep-Value with a Catalyst
Search for companies trading at low P/E and/or P/B multiples relative to their own history and industry, but do not stop at cheapness. Require either improving earnings, asset monetisation, deleveraging, capacity utilisation recovery, restructuring, or another identifiable catalyst. Separate genuine value opportunities from statistically cheap value traps.
Company Analysis
Once you have a candidate, dig into the business itself.
10. Five-Year Business Quality Autopsy
Analyse [COMPANY] as if you were taking over coverage for an equity-research desk. Break the last five years into revenue growth, margins, capital efficiency, cash generation, leverage and per-share earnings. Identify the three biggest structural changes in the business and explain what caused them.
11. ROCE Decomposition
Decompose [COMPANY]'s ROCE over the last seven years into operating margin and capital turnover. Show which component has driven changes in ROCE and whether future improvement is more likely to come from pricing, cost reduction, asset utilisation or balance-sheet changes.
12. Cash Conversion Deep Dive
Analyse [COMPANY]'s relationship between PAT, CFO and free cash flow for the last seven years. Trace the major differences to working capital, taxes, capex and other adjustments. Conclude whether accounting earnings are a reliable proxy for economic earnings.
13. Capital Allocation Audit
Review how [COMPANY] has deployed every major rupee of capital over the last five years across organic capex, acquisitions, debt repayment, dividends, buybacks and investments. Judge whether management has historically created or destroyed shareholder value through these decisions.
14. Earnings Normalisation
Analyse [COMPANY]'s reported earnings and construct a normalised earnings estimate excluding unusual gains/losses, exceptional items, cyclical peaks, one-off tax effects and other distortions. Explain whether the current valuation looks cheap or expensive on sustainable earnings rather than reported earnings.
15. Balance-Sheet Stress Test
Stress-test [COMPANY] under a scenario where revenue falls 15%, EBITDA margin contracts by 300 bps and working-capital requirements increase. Estimate the effect on interest coverage, cash generation and leverage. Assess whether the balance sheet gives the business resilience through a downturn.
16. Unit Economics to Corporate Economics
Explain how [COMPANY] makes money at the unit level and then bridge those economics to consolidated revenue, margins and ROCE. Identify the operational variables that matter most and show which ones have improved or deteriorated over time.
17. Management vs Numbers
Evaluate [COMPANY]'s management using only observable evidence from annual reports, investor presentations, capital allocation history, related-party transactions, remuneration, acquisitions, equity issuance and stated guidance versus actual outcomes. Determine whether management credibility is improving, stable or deteriorating.
18. Growth Quality Test
Analyse whether [COMPANY]'s growth is driven primarily by volume, price, market share, new products, acquisitions, geographic expansion or industry growth. Quantify the contribution of each where possible and determine whether the current growth rate can realistically continue for another five years.
Investing Frameworks
Structured lenses for turning research into a thesis.
19. Compounder Framework
Evaluate [COMPANY] using five pillars: industry opportunity, competitive advantage, reinvestment runway, returns on incremental capital and management quality. Score each from 1–10 and explain what would need to remain true for the company to compound earnings for the next decade.
20. Capital-Cycle Framework
Apply a capital-cycle framework to [SECTOR]. Analyse capacity additions, industry profitability, pricing behaviour, competitor incentives and expected supply growth. Identify whether the industry is moving toward excess capacity or scarcity and name the listed companies most likely to benefit.
21. Value-Migration Map
Identify a major value migration underway in India and map the chain from the declining incumbent model to the emerging model. Quantify the addressable market, explain why the migration is happening, identify the likely winners and losers, and determine which listed companies have the strongest exposure.
22. Reinvestment Runway Framework
For [COMPANY], estimate how much of its operating profit can realistically be reinvested at attractive incremental returns. Analyse capacity for growth, capital intensity, addressable market, working capital and competitive intensity. Conclude whether the company has a long runway or is approaching reinvestment saturation.
23. Variant-Perception Framework
Build an investment thesis for [COMPANY] from the perspective of a variant-perception investor. Identify what the market currently expects, what you believe is different, what evidence supports that difference, and what future numbers would prove the thesis right or wrong.
24. Downside-First Framework
Analyse [COMPANY] by starting with what could go wrong rather than what could go right. Estimate balance-sheet risk, earnings downside, competitive threats, governance risk and valuation risk. Then determine whether the current price provides enough margin of safety.
25. Checklist-Based Stock Decision
Evaluate [COMPANY] through a structured checklist covering business quality, management, financial quality, valuation, competitive position, growth runway, balance-sheet risk and catalysts. Identify any single issue that is severe enough to invalidate the thesis regardless of the other positives.
26. Three-Engine Growth Framework
Study [COMPANY] through three possible growth engines: market expansion, market-share gains and operating leverage. Quantify how much each contributed historically and estimate how much each could contribute over the next five years. Decide which engine is most durable.
Sector & Industry Analysis
Zoom out to understand where the profit pools sit.
27. Industry Profit-Pool Analysis
Analyse the Indian [SECTOR] industry and identify where the economic profit actually sits across the value chain. Break down suppliers, manufacturers, distributors, platforms and service providers. Identify which layer has the strongest bargaining power and why.
28. Industry Structure & Returns
Study [SECTOR] using industry structure: entry barriers, supplier power, customer power, rivalry, substitutes and regulatory forces. Explain how each affects long-term margins and ROCE. Identify which listed businesses possess the strongest structural position.
29. Penetration-Led Growth Analysis
For [SECTOR], estimate current penetration, likely penetration trajectory and the key barriers preventing wider adoption. Separate growth from new customers versus premiumisation versus replacement demand. Identify the listed companies best positioned to capture the next leg of penetration.
30. Capacity-Cycle Analysis
Analyse whether [SECTOR] is currently in an expansion, peak-capacity, oversupply, consolidation or underinvestment phase. Examine capacity additions, utilisation, pricing and expected demand growth. Identify which listed companies have the strongest position under the likely next stage of the cycle.
31. Unit Economics by Sector
Build a sector-specific unit-economics model for [SECTOR]. Identify the variables that determine revenue, gross profit and return on capital at the unit level. Then explain which listed companies have the best economics and why those economics should persist.
32. Distribution Advantage
Analyse the distribution structure of [SECTOR] in India. Compare direct distribution, distributors, traditional retail, modern trade, e-commerce and quick commerce where relevant. Determine whether distribution reach is becoming more or less important as the industry evolves.
33. Industry Consolidation Opportunity
Identify Indian sectors where market share is shifting from fragmented/unorganised players toward organised companies. Quantify the opportunity, explain why consolidation is occurring, and identify listed companies with the strongest ability to capture it without destroying returns.
34. Industry Economics Across the Cycle
Take [SECTOR] and analyse how revenue growth, margins, working capital, capex, ROCE and valuation behave during different parts of its cycle. Determine which financial metric gives the earliest warning that the industry is approaching a peak or trough.
Thematic Opportunities
Ride multi-year structural shifts in the Indian economy.
35. AI Value Chain Opportunity
Map the Indian listed-company opportunity created by AI across infrastructure, semiconductors/electronics, data centres, software, IT services, cybersecurity and enterprise applications. Identify where economic value is most likely to accrue and distinguish durable beneficiaries from narrative-driven stocks.
36. China+1 Opportunity Map
Identify Indian listed companies that could benefit materially from global supply-chain diversification away from China. Rank them by export opportunity, customer stickiness, capacity expansion, cost competitiveness and evidence of actual business wins rather than management commentary.
37. Formalisation Winners
Identify major Indian industries where formalisation is causing market share to move from small/unorganised businesses toward organised players. For each opportunity, estimate the runway and identify listed companies with the strongest combination of brand, distribution, financing ability and scale advantages.
38. Financialisation of Savings
Study the shift in Indian household savings toward equities, mutual funds, insurance, pensions and other financial products. Estimate which parts of the value chain capture the economics and identify listed companies that could benefit from sustained financialisation.
39. Electrification Theme
Build an investment map for the electrification of the Indian economy covering vehicles, power infrastructure, transmission, distribution equipment, batteries, charging infrastructure and industrial electrical equipment. Identify the bottlenecks where spending is likely to grow fastest.
40. Premiumisation Theme
Find Indian consumer categories where customers are moving from basic products toward premium products. Quantify the premiumisation runway, identify companies with strong brand or distribution advantages, and determine whether current valuations already discount the opportunity.
41. Government Capex Beneficiaries
Analyse the major areas of Indian government-led capital expenditure that could create multi-year private-sector opportunities. Trace the spending chain from government allocation to contractors, equipment suppliers and component manufacturers. Identify companies with the strongest operating leverage to the theme.
42. Underpenetrated Category Hunt
Search across Indian consumer, healthcare, financial and industrial categories for products or services with low penetration but strong structural reasons for future adoption. For each opportunity, identify the adoption trigger, addressable market, likely growth rate and two or three listed beneficiaries.
Comparison Prompts
When you are down to two finalists, let the evidence decide.
43. Best Business vs Best Stock
Compare [COMPANY A] and [COMPANY B] on business quality, competitive advantage, reinvestment runway, ROCE, growth durability, balance-sheet strength and valuation. Then answer two separate questions: which is the better business, and which is the better stock at today’s price?
44. Growth vs Valuation
Compare [COMPANY A], [COMPANY B] and [COMPANY C] using growth, margins, ROCE, cash conversion, P/E, EV/EBITDA and expected earnings growth. Determine whether the premium valuation of the faster-growing company is justified by superior economics.
45. Market-Share Winner
Compare two companies competing in the same industry and determine which one is more likely to gain market share over the next five years. Analyse product breadth, distribution, capacity, pricing, customer acquisition, technology and balance-sheet capacity.
46. Capital Allocation Comparison
Compare the capital allocation records of [COMPANY A] and [COMPANY B]. Examine capex returns, acquisitions, dividends, buybacks, debt reduction and investments. Determine which management team has historically converted retained earnings into greater shareholder value.
47. Cyclical vs Structural Growth
Compare [COMPANY A] and [COMPANY B] where one may be benefiting from a cyclical upswing and the other from structural growth. Analyse historical cycles, capacity, pricing, margins and demand drivers. Determine which company’s current earnings are more sustainable.
48. Moat vs Growth
Compare [COMPANY A] and [COMPANY B] where one has stronger competitive advantages but slower growth and the other has faster growth but a less established moat. Evaluate incremental ROCE, reinvestment opportunity, competitive intensity and valuation to determine which offers the superior long-term compounding setup.
49. Incumbent vs Disruptor
Compare the leading incumbent [COMPANY A] with emerging disruptor [COMPANY B]. Analyse customer switching costs, technology, pricing, distribution, cost structure and market-share trends. Determine whether the disruptor can materially alter industry economics and under what conditions.
50. Complete Investment Showdown
Compare [COMPANY A] and [COMPANY B] across industry attractiveness, revenue growth, profit growth, margins, ROCE, ROE, cash conversion, leverage, management quality, competitive advantage, reinvestment runway, valuation and catalysts. Give each dimension a 1–10 score, identify the biggest disagreement between the two investment cases, and conclude which stock offers the better risk-adjusted five-year return.
How to Get Better Results From AI
The biggest mistake beginners make is asking AI questions that are too broad.
| ❌ Too broad | ✅ Specific and useful |
|---|---|
| “Analyze Reliance.” | “Analyze Reliance’s revenue growth, EBITDA margin, ROCE, free cash flow and debt over the last five years. Identify the three biggest structural changes and explain what caused them.” |
A useful structure is:
WHAT + TIME PERIOD + METRICS + COMPARISON + WHY
The more clearly you define the research question, the more useful the resulting analysis can become.
How StockPrompt.ai Can Help
StockPrompt.ai is designed to let investors turn research questions into natural-language financial research workflows. Users can combine financial quality, valuation and historical context in a single research question and refine the analysis with follow-up requests.
The objective is to make sophisticated investment research easier to explore while keeping the user in control of the research question.
Put these 50 prompts to work
Turn any research question into a structured, evidence-based workflow — in plain English.
Try StockPrompt.ai free →Frequently Asked Questions
What are AI stock research prompts?
They are structured questions you ask an AI assistant to investigate specific aspects of a stock — screening, company analysis, valuation, sector context, themes and head-to-head comparisons — rather than asking for a simple buy or sell answer.
How do I use the placeholders in these prompts?
Replace [COMPANY], [COMPANY A], [COMPANY B] and [SECTOR] with the companies or industries you are researching, then refine with follow-up questions based on the response.
Can I use these prompts for Indian NSE and BSE stocks?
Yes. The prompts are written around the Indian market, including rupee-based market-cap filters, ROCE, cash conversion and sector dynamics relevant to listed Indian companies.
Can AI predict stock prices with these prompts?
No. These prompts improve research quality and structure. AI cannot reliably predict future market movements, and its output should not be treated as a recommendation.
How should I verify AI answers?
Confirm important numbers against primary sources such as company filings, annual reports and exchange disclosures, and weigh them against your own objectives and risk tolerance.
Disclaimer: This article is for educational and informational purposes only and should not be considered financial, investment, or trading advice. Stock market investments involve risk. Past performance does not guarantee future results.