For any investor looking to make an informed decision about a potential investment, conducting thorough due diligence is essential. One of the most valuable tools in an investor's arsenal is the wealth of information available through a company's filings with the U.S. Securities and Exchange Commission (SEC). These SEC filings provide an unparalleled view into a company's financial health, operations, management, and much more. Understanding SEC Filings The SEC requires al

Market capitalization, or "market cap" for short, is one of the most commonly cited valuation metrics used by investors to assess the size and value of a publicly traded company. Market cap is calculated by multiplying a company's current stock price by the total number of outstanding shares. For example, if a company has 100 million shares outstanding and the current stock price is $50 per share, the market cap would be $5 billion (100 million x $50). Market cap is view

In venture capital and startup investing , one critical concept that successful investors understand well is optionality. Optionality refers to the ability to take advantage of future opportunities or alternative paths as conditions change over time. By maintaining strategic optionality, investors can position themselves to capitalize on upside while limiting their downside risk exposure. The concept of optionality derives from the world of finance and options trading .

For investors evaluating companies, particularly those involved in manufacturing or retail, one of the most important metrics to analyze...

Endogeneity is a critical concept in econometrics and investment analysis that investors should be aware of. It refers to a situation...

With the proliferation of easy-to-use trading apps and $0 commission fees, a new breed of retail investor has emerged - the day trader. While investing apps have made the stock market more accessible, they have also fueled a culture of speculation , short-term thinking, and increased risk-taking among casual investors. The allure of quick profits and the gamification of trading through slick app interfaces has lured many into the dangerous waters of day trading. However, th