SEC Filings

What are SEC Filings?

SEC filings are financial statementsThree Financial StatementsThe three financial statements are the income statement, the balance sheet, and the statement of cash flows. These three core statements are intricately linked to each other and this guide will explain how they all fit together. By following the steps below you'll be able to connect the three statements on your own., periodic reports and other formal documents that public companies, broker-dealers, and insiders are required to submit to the U.S. Securities and Exchange Commission (SEC). SEC was created in the 1930s with an aim to curb the stockStockWhat is a stock? An individual who owns stock in a company is called a shareholder and is eligible to claim part of the company’s residual assets and earnings (should the company ever be dissolved). The terms "stock", "shares", and "equity" are used interchangeably. manipulation and fraud that was taking place among companies. The regulatory body collects financial and operational information of publicly traded domestic and foreign companies.

SEC verifies the information contained in the submitted SEC forms to ensure that it meets the set standards. Most of the filings are made available to the public through the SEC database.

Importance of SEC filings

By making it mandatory for publicly traded companies to make SEC filings, the US government enables investors to review company’s history and forecast future performances. Investors and finance professionals rely on these filings to get reliable information about companies that they are evaluating for investment purposesInvestment MethodsBuy low sell high. This guide and overview of investment methods outlines they main ways investors try to make money and manage risk in capital markets. A financial or economic investment is any asset or instrument purchased with the intention of selling said asset for a higher price at a future point in time. The filings help investors to make informed investment decisions when planning to sell, buy or hold company’s securities.

SEC Filings Available to Investors

The most common SEC formsTypes of SEC FilingsThe US SEC makes it mandatory for publicly traded companies to submit different types of SEC filings, forms include 10-K, 10-Q, S-1, S-4, see examples that companies must file include:

• 10-K10-KSEC filing 10-K is a detailed summary report that must be submitted to the U.S. Securities and Exchange Commission & filed on EDGAR with the annual report,
• 10-Q, and
• 8-K

Form 10-K is the annual report issued by a firm at the end of the fiscal year. It includes a detailed summary of the company’s results for the year, risk factors, management discussions,What is MD&A?Management Discussion and Analysis (MD&A) provides an overview of the past performance of the company, current financial conditions, and the future analysis of financial condition and the details of all the annual financial statements.

The 10-Q form presents a summary of the company’s operations by quarter, mainly the first three-quarters of the year. It includes the main financial statements, analysis of financial condition and the risk factors.

Companies use form 8-K to report unscheduled events or corporate changes that could be of importance to shareholders, SEC, and Investors. The report comprises material events such as the resignation of directors, acquisition, bankruptcy, disposal of assets and other important events.

Where to Find SEC Filings

SEC filings are available online at the official SEC website, www.sec.gov. Also, most of the publicly traded companies that submit SEC filings to the regulatory body also publish the reports on their websites, under investor relations tab. However, some of the SEC forms are kept confidential and therefore not publicly available. Obtaining the available SEC forms and interpreting them correctly can help investors make timely investment decisions.

Additional resources

• 3 financial statementsHow the 3 Financial Statements are LinkedHow are the 3 financial statements linked together? We explain how to link the 3 financial statements together for financial modeling and valuation in Excel. Connections of net income & retained earnings, PP&E, depreciation and amortization, capital expenditures, working capital, financing activities, and cash balance
• Accounting guidesAccountingSEC filings are formal documents and reports that publicly traded companies are required to submit to the U.S. Securities and Exchange Commission (SEC)
• Audited financial statementsAudited Financial StatementsPublic companies are obligated by law to ensure that their financial statements are audited by a registered CPA. The purpose of the independent audit is to provide assurance that the management has presented financial statements that are free from material error.  Audited financial statements help decision makers
• 10-K10-KSEC filing 10-K is a detailed summary report that must be submitted to the U.S. Securities and Exchange Commission & filed on EDGAR with the annual report