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- How to Analyze 10K's
Insight from Mostly Metrics
No, I'm not referencing a long-distance run.
A 10K report is filed annually by a publicly traded company about its financial performance, key risks, and the executives working there.
Imagine you got access to what kept an executive up at night.
10K's have that juicy information you won't find anywhere else.
Don't believe me?
Check out what CJ Gustafson said after analyzing thousands of 10K's:
About a thousand cups of crappy office coffee later (Flavia, anyone?) I figured out that probably 70% of the risk factors were fluff - CYA’s that were so broad they didn’t mean much.
But there was probably 30% in there that was a real signal.
If you can identify a public company's risk factor, you've discovered an underlying opportunity to build upon.
Follow this SEC link to start coming up with great ideas.
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