What Should I Look For In A 10 Q?

What is a 10 K filing?

A 10-K is a comprehensive report filed annually by a publicly-traded company about its financial performance and is required by the U.S.

Securities and Exchange Commission (SEC)..

What is a 8k filing?

An 8-K is a report of unscheduled material events or corporate changes at a company that could be of importance to the shareholders or the Securities and Exchange Commission (SEC).

Which SEC filing shows ownership?

The Schedule 13D is also known as the “beneficial ownership report” and is required when any owner acquires 5% or more of the voting shares in a company. The report must be filed within 10 days of reaching the 5% threshold.

What is SEC reporting requirements?

SEC regulations require that annual reports to stockholders contain certified financial statements and other specific items. The certified financial statement must include a two-year audited balance sheet and a three-year audited statement of income and cash flows.

What do you look for in a 10q?

Content of the 10 QIncome Statement, Balance Sheet, Cash Flows.Management’s discussions and analysis of financial conditions and results.Disclosures of market risks facing the company and notes about controls and legal proceedings.

What do you look for in SEC filings?

The key parts of 10-Q and 10-K filings are balance sheets, income statements, and cash flow statements. The balance sheet is a review of the company’s assets versus its liabilities; this is useful for checking liquidity ratios, cash on the books, and the level of debts owed to others.

Is a low EPS good or bad?

A company’s historical data is important when assessing how good or bad an EPS is. A consistently rising EPS over the years is a positive sign, and it means the company is making good consistent growth. Whereas there is a drop in EPS, it is a cause of alarm for the investor.

How do you calculate quarterly pay?

Each quarter’s earnings equal the total revenues for that quarter minus the total expenses for that quarter. You report your revenues, expenses and earnings on your income statement. If your total revenues are more than your total expenses for the quarter, you will have a quarterly profit, or net income.

What is the purpose of a 10 Q?

The 10-Q is a comprehensive report of a company’s performance submitted quarterly by all public companies to the Securities and Exchange Commission. The form provides investors with the financial position of companies on an ongoing basis.

What are the 10 Q and 10 K used to report?

Form 10K is an annual report and is more comprehensive than a 10Q, which is a quarterly report that consists primarily of the quarterly financial statements and the management’s discussion and analysis disclosure (an analysis of period over period financial results, so it will compare, e.g., Sep 30’2017 to Sep 30’2018 …

What’s more important EPS or revenue?

Earnings is arguably the most important measurement of growth for a business, as earnings growth indicates the health and profitability of a business after all expenses are paid. Conversely, revenue growth refers to the annual growth rate of revenue from total sales.

Do companies have to report quarterly?

A quarterly report is a summary or a collection of a company’s financial statements, such as balance sheets and income statements, issued every three months. Publicly-traded companies must file their quarterly reports on Form 10-Q with the Securities Exchange Commission (SEC).

Where can you see the amount of debt a company is holding?

A company lists its long-term debt on its balance sheet under liabilities, usually under a subheading for long-term liabilities.

Is SEC a word?

Word forms: secs Sec. is a written abbreviation for second1 or seconds.

What should I look for in a quarterly report?

8 Things to Look For in a Quarterly Report[See: 10 Ways to Play in the Asia-Pacific Stocks Pool.]Save a few of them. … Earnings per share. … Compare the company’s guidance over time. … Sales and earnings consistent growth. … [See: 7 Global Goats That Could Bring Market Mayhem.]Sound balance sheet. … Measure cash flow.More items…•

What is considered a good eps?

EPS is typically considered good when a corporation’s profits outperform those of similar companies in the same sector. … A review of Pepsico’s EPS for the 12 months ended December 31, 2018 reveals a robust EPS of $8.78, representing a 159.76 percent year-over-year increase.

Is it better to have a higher or lower EPS?

Description: EPS is the portion of a company’s profit that is allocated to every individual share of the stock. … The higher the earnings per share of a company, the better is its profitability. While calculating the EPS, it is advisable to use the weighted ratio, as the number of shares outstanding can change over time.

How do you read quarterly results?

Here are a few important things to look at while understanding quarterly reports and a step by step guide for financial statements.Gross Sales.Net Sales.Operating Income.Operating Profit.Margins.Interest cost.Net Profit.EPS (Earnings per share)