Reading SEC Filings

SEC filings contain critical information that most retail traders never read.

Essential Filing Types

10-K (Annual Report)

• Comprehensive yearly overview
• Financial statements
• Business description
• Risk factors
• Management discussion
• Filed within 60 days of fiscal year end

10-Q (Quarterly Report)

• Quarterly financial update
• Unaudited financials
• Management discussion
• Filed within 40 days of quarter end

8-K (Current Report)

• Material events
• Leadership changes
• Acquisitions
• Filed within 4 days of event
• Often market-moving

Insider Trading Filings

Form 4

• Insider buys and sells
• Filed within 2 business days
• Insiders know their company best
• Cluster buying = bullish signal

Form 13D

• Activist investor stake (5%+)
• Outlines intentions
• Can signal major changes
• Often moves stock price

Form 13F

• Institutional holdings quarterly
• See what funds are buying
• 45-day reporting delay
• Useful for idea generation

What to Look For

In 10-K/10-Q

• Revenue growth trends
• Margin expansion or contraction
• Debt levels and maturities
• Management tone changes
• New risk factors

Red Flags

• Auditor changes
• Restated financials
• Increasing accounts receivable
• Related party transactions
• Aggressive revenue recognition

Positive Signals

• Accelerating revenue growth
• Expanding margins
• Growing free cash flow
• Share buybacks
• Insider buying

Where to Find Filings

• SEC EDGAR: Free, official source
• Company investor relations page
• Financial data providers
• Insider tracking websites (OpenInsider)

Key Takeaways

1. Read filings for companies you own
2. Pay attention to insider activity
3. Compare quarters year-over-year
4. Watch for tone changes in MD&A
5. Set up alerts for 8-K filings