The Annual Report Decoded
The 10-K is the comprehensive annual report companies file with the SEC. It's a goldmine of information for investors.
Key Sections to Focus On
- Business Description: How the company makes money
- Risk Factors: Management's honest assessment of threats
- MD&A: Management's discussion of results and outlook
- Financial Statements: The actual numbers and footnotes
Reading Between the Lines
Pay attention to changes in language from year to year. New risk factors or changing tone can signal important shifts.
Where to Find 10-Ks
All public company 10-Ks are available free on SEC.gov (EDGAR database) and on company investor relations pages.