SEC Annual Comparison
Compare key metrics and risk factors between current and previous year 10-K filings for public companies using the Octagon MCP server.
Prerequisites
Ensure Octagon MCP is configured in your AI agent (Cursor, Claude Desktop, Windsurf, etc.). See references/mcp-setup.md for installation instructions.
Workflow
1. Identify Analysis Parameters
Determine the following before querying:
- Ticker: Stock symbol (e.g., AAPL, MSFT, GOOGL)
- Years (optional): Specific fiscal years to compare
- Focus Areas (optional): Financials, risks, segments, strategy
2. Execute Query via Octagon MCP
Use the octagon-agent tool with a natural language prompt:
Compare key metrics and risk factors between <TICKER>'s current and previous year 10-K filings.
MCP Call Format:
{
"server": "octagon-mcp",
"toolName": "octagon-agent",
"arguments": {
"prompt": "Compare key metrics and risk factors between CRM's current and previous year 10-K filings."
}
}
3. Expected Output
The agent returns structured year-over-year comparison including:
Financial Metrics:
- Revenue: $31.353B (FY2023) vs $26.492B (FY2022) - 18.59% growth
- Net Income: $208M (FY2023) vs $1.444B (FY2022) - significant decline
- Total Assets: $98.849B vs $95.209B
- Total Liabilities: $41.755B vs $37.076B
Key Changes:
- $1.2B impairment of customer relationships and acquisition assets
- Increased goodwill from acquisitions (Slack, Acumen, Vlocity)
- Debt at $10.682B, covenant compliant
Risk Factors:
- Operational, regulatory, financial, market volatility risks
- Industry competition risks
Data Sources: octagon-financials-agent, octagon-sec-agent
4. Interpret Results
See references/interpreting-results.md for guidance on:
- Understanding year-over-year trends
- Identifying significant changes
- Evaluating risk factor evolution
- Assessing strategic shifts
Example Queries
Full Annual Comparison:
Compare key metrics and risk factors between CRM's current and previous year 10-K filings.
Multi-Year Trend:
Compare AAPL's financial performance across the last 3 fiscal years from 10-K filings.
Risk Factor Evolution:
How have TSLA's risk factors changed between FY2024 and FY2023 10-K filings?
Segment Comparison:
Compare revenue segment breakdown between GOOGL's FY2024 and FY2023 10-K filings.
Strategic Changes:
Compare the business description and strategy sections between MSFT's current and prior year 10-K.
Margin Analysis:
Compare gross margin and operating margin trends between NVDA's FY2024 and FY2023 10-K filings.
Comparison Framework
Financial Metrics
| Category |
Key Metrics |
| Revenue |
Total revenue, growth rate, segment breakdown |
| Profitability |
Gross profit, operating income, net income |
| Margins |
Gross margin, operating margin, net margin |
| Balance Sheet |
Assets, liabilities, equity, cash, debt |
| Cash Flow |
Operating, investing, financing, free cash flow |
| Per Share |
EPS, book value, dividends |
Operational Metrics
| Category |
Key Metrics |
| Customers |
Count, retention, concentration |
| Employees |
Headcount, productivity |
| Geographic |
Revenue by region, asset location |
| Segments |
Business unit performance |
Risk Factors
| Category |
What to Compare |
| Business |
Competitive, operational, strategic |
| Financial |
Liquidity, debt, currency |
| Regulatory |
Compliance, legal |
| Market |
Economic, industry |
| Technology |
Innovation, disruption |
Strategic Elements
| Category |
What to Compare |
| Mission |
Corporate purpose |
| Strategy |
Growth initiatives |
| Investments |
R&D, CapEx, M&A |
| Markets |
Geographic, product expansion |
Year-over-Year Analysis
Financial Trend Assessment
| Metric |
Positive Trend |
Negative Trend |
| Revenue |
Growing, accelerating |
Declining, slowing |
| Margins |
Expanding |
Contracting |
| Earnings |
Increasing |
Decreasing |
| Cash Flow |
Strengthening |
Weakening |
| Debt |
Declining |
Increasing |
Key Ratios to Track
| Ratio |
Calculation |
What It Shows |
| Revenue Growth |
(Current - Prior) / Prior |
Top-line momentum |
| Gross Margin |
Gross Profit / Revenue |
Pricing power, costs |
| Operating Margin |
Operating Income / Revenue |
Operational efficiency |
| Net Margin |
Net Income / Revenue |
Bottom-line profitability |
| ROE |
Net Income / Equity |
Shareholder returns |
| Debt/Equity |
Total Debt / Equity |
Financial leverage |
Change Analysis
| Change Type |
Significance |
| >20% improvement |
Major positive development |
| 5-20% improvement |
Solid progress |
| ±5% |
Stable/flat |
| 5-20% decline |
Concerning deterioration |
| >20% decline |
Material negative change |
Risk Factor Comparison
Types of Changes
| Change |
What It Means |
| New risk added |
Emerging concern |
| Risk removed |
Issue resolved or de-emphasized |
| Language expanded |
Increased concern |
| Language reduced |
Diminished concern |
| Position changed |
Priority shift |
| Specificity added |
Crystallizing risk |
Priority Assessment
| Position |
Prior Year |
Current Year |
Interpretation |
| Top 5 |
Top 5 |
Top 5 |
Persistent priority |
| Lower |
Lower |
Top 5 |
Elevated concern |
| Top 5 |
Top 5 |
Lower |
Reduced priority |
| None |
None |
Added |
New risk |
| Present |
Present |
Removed |
Resolved |
Business Description Changes
What to Track
| Section |
Changes to Note |
| Products |
New offerings, discontinued products |
| Markets |
Geographic expansion, exits |
| Customers |
Target market shifts |
| Competition |
New competitors, changed positioning |
| Strategy |
New initiatives, changed priorities |
| Technology |
Platform changes, R&D focus |
Strategic Shifts
| Indicator |
Examples |
| New emphasis |
Repeated new terms |
| Removed emphasis |
Topics no longer discussed |
| Changed language |
Different framing |
| Quantification |
New metrics disclosed |
| Commitment |
Specific targets stated |
Segment Performance Comparison
Revenue Analysis
| Segment |
Prior Year |
Current Year |
Growth |
Mix Change |
| Segment A |
$X |
$Y |
Z% |
+/- pp |
| Segment B |
$X |
$Y |
Z% |
+/- pp |
Segment Health Indicators
| Indicator |
Positive |
Negative |
| Growth |
Accelerating |
Decelerating |
| Margin |
Improving |
Declining |
| Share of Total |
Increasing (if healthy) |
Declining |
| Investment |
Increasing |
Divesting |
Multi-Year Trend Analysis
3-5 Year Comparison
Track over extended periods:
- Revenue CAGR
- Margin trajectories
- Balance sheet evolution
- Risk factor patterns
- Strategic consistency
Inflection Points
| Signal |
What Changed |
| Growth acceleration |
New product, market |
| Margin expansion |
Scale, efficiency |
| Cash flow improvement |
Working capital, CapEx |
| Risk emergence |
New competitive threat |
| Strategic pivot |
Changed direction |
Analysis Tips
Start with financials: Numbers provide objective comparison base.
Read both MD&As: Management commentary reveals context.
Track risk factor order: Position indicates priority.
Note new disclosures: First-time mentions often significant.
Compare segment detail: Business unit changes reveal strategy.
Check footnote changes: Accounting policy shifts matter.
Use Cases
- Investment research: Understand company trajectory
- Due diligence: Track performance evolution
- Competitive analysis: Compare across competitors
- Risk monitoring: Identify emerging concerns
- Earnings analysis: Context for quarterly results
1---2name: sec-annual-comparison3description: Compare key metrics and disclosures between annual 10-K filings using Octagon MCP. Use when analyzing year-over-year changes in financials, risk factors, business descriptions, and strategic priorities across fiscal years.4---5
6# SEC Annual Comparison
7
8Compare key metrics and risk factors between current and previous year 10-K filings for public companies using the Octagon MCP server.
9
10## Prerequisites
11
12Ensure Octagon MCP is configured in your AI agent (Cursor, Claude Desktop, Windsurf, etc.). See [references/mcp-setup.md](references/mcp-setup.md) for installation instructions.
13
14## Workflow
15
16### 1. Identify Analysis Parameters
17
18Determine the following before querying:
19- **Ticker**: Stock symbol (e.g., AAPL, MSFT, GOOGL)
20- **Years** (optional): Specific fiscal years to compare
21- **Focus Areas** (optional): Financials, risks, segments, strategy
22
23### 2. Execute Query via Octagon MCP
24
25Use the `octagon-agent` tool with a natural language prompt:
26
27```
28Compare key metrics and risk factors between <TICKER>'s current and previous year 10-K filings.
29```
30
31**MCP Call Format:**
32
33```json
34{
35 "server": "octagon-mcp",
36 "toolName": "octagon-agent",
37 "arguments": {
38 "prompt": "Compare key metrics and risk factors between CRM's current and previous year 10-K filings."
39 }
40}
41```
42
43### 3. Expected Output
44
45The agent returns structured year-over-year comparison including:
46
47**Financial Metrics:**
48- Revenue: $31.353B (FY2023) vs $26.492B (FY2022) - 18.59% growth
49- Net Income: $208M (FY2023) vs $1.444B (FY2022) - significant decline
50- Total Assets: $98.849B vs $95.209B
51- Total Liabilities: $41.755B vs $37.076B
52
53**Key Changes:**
54- $1.2B impairment of customer relationships and acquisition assets
55- Increased goodwill from acquisitions (Slack, Acumen, Vlocity)
56- Debt at $10.682B, covenant compliant
57
58**Risk Factors:**
59- Operational, regulatory, financial, market volatility risks
60- Industry competition risks
61
62**Data Sources**: octagon-financials-agent, octagon-sec-agent
63
64### 4. Interpret Results
65
66See [references/interpreting-results.md](references/interpreting-results.md) for guidance on:
67- Understanding year-over-year trends
68- Identifying significant changes
69- Evaluating risk factor evolution
70- Assessing strategic shifts
71
72## Example Queries
73
74**Full Annual Comparison:**
75```
76Compare key metrics and risk factors between CRM's current and previous year 10-K filings.
77```
78
79**Multi-Year Trend:**
80```
81Compare AAPL's financial performance across the last 3 fiscal years from 10-K filings.
82```
83
84**Risk Factor Evolution:**
85```
86How have TSLA's risk factors changed between FY2024 and FY2023 10-K filings?
87```
88
89**Segment Comparison:**
90```
91Compare revenue segment breakdown between GOOGL's FY2024 and FY2023 10-K filings.
92```
93
94**Strategic Changes:**
95```
96Compare the business description and strategy sections between MSFT's current and prior year 10-K.
97```
98
99**Margin Analysis:**
100```
101Compare gross margin and operating margin trends between NVDA's FY2024 and FY2023 10-K filings.
102```
103
104## Comparison Framework
105
106### Financial Metrics
107
108| Category | Key Metrics |
109|----------|-------------|
110| Revenue | Total revenue, growth rate, segment breakdown |
111| Profitability | Gross profit, operating income, net income |
112| Margins | Gross margin, operating margin, net margin |
113| Balance Sheet | Assets, liabilities, equity, cash, debt |
114| Cash Flow | Operating, investing, financing, free cash flow |
115| Per Share | EPS, book value, dividends |
116
117### Operational Metrics
118
119| Category | Key Metrics |
120|----------|-------------|
121| Customers | Count, retention, concentration |
122| Employees | Headcount, productivity |
123| Geographic | Revenue by region, asset location |
124| Segments | Business unit performance |
125
126### Risk Factors
127
128| Category | What to Compare |
129|----------|-----------------|
130| Business | Competitive, operational, strategic |
131| Financial | Liquidity, debt, currency |
132| Regulatory | Compliance, legal |
133| Market | Economic, industry |
134| Technology | Innovation, disruption |
135
136### Strategic Elements
137
138| Category | What to Compare |
139|----------|-----------------|
140| Mission | Corporate purpose |
141| Strategy | Growth initiatives |
142| Investments | R&D, CapEx, M&A |
143| Markets | Geographic, product expansion |
144
145## Year-over-Year Analysis
146
147### Financial Trend Assessment
148
149| Metric | Positive Trend | Negative Trend |
150|--------|----------------|----------------|
151| Revenue | Growing, accelerating | Declining, slowing |
152| Margins | Expanding | Contracting |
153| Earnings | Increasing | Decreasing |
154| Cash Flow | Strengthening | Weakening |
155| Debt | Declining | Increasing |
156
157### Key Ratios to Track
158
159| Ratio | Calculation | What It Shows |
160|-------|-------------|---------------|
161| Revenue Growth | (Current - Prior) / Prior | Top-line momentum |
162| Gross Margin | Gross Profit / Revenue | Pricing power, costs |
163| Operating Margin | Operating Income / Revenue | Operational efficiency |
164| Net Margin | Net Income / Revenue | Bottom-line profitability |
165| ROE | Net Income / Equity | Shareholder returns |
166| Debt/Equity | Total Debt / Equity | Financial leverage |
167
168### Change Analysis
169
170| Change Type | Significance |
171|-------------|--------------|
172| >20% improvement | Major positive development |
173| 5-20% improvement | Solid progress |
174| ±5% | Stable/flat |
175| 5-20% decline | Concerning deterioration |
176| >20% decline | Material negative change |
177
178## Risk Factor Comparison
179
180### Types of Changes
181
182| Change | What It Means |
183|--------|---------------|
184| New risk added | Emerging concern |
185| Risk removed | Issue resolved or de-emphasized |
186| Language expanded | Increased concern |
187| Language reduced | Diminished concern |
188| Position changed | Priority shift |
189| Specificity added | Crystallizing risk |
190
191### Priority Assessment
192
193| Position | Prior Year | Current Year | Interpretation |
194|----------|------------|--------------|----------------|
195| Top 5 | Top 5 | Top 5 | Persistent priority |
196| Lower | Lower | Top 5 | Elevated concern |
197| Top 5 | Top 5 | Lower | Reduced priority |
198| None | None | Added | New risk |
199| Present | Present | Removed | Resolved |
200
201## Business Description Changes
202
203### What to Track
204
205| Section | Changes to Note |
206|---------|-----------------|
207| Products | New offerings, discontinued products |
208| Markets | Geographic expansion, exits |
209| Customers | Target market shifts |
210| Competition | New competitors, changed positioning |
211| Strategy | New initiatives, changed priorities |
212| Technology | Platform changes, R&D focus |
213
214### Strategic Shifts
215
216| Indicator | Examples |
217|-----------|----------|
218| New emphasis | Repeated new terms |
219| Removed emphasis | Topics no longer discussed |
220| Changed language | Different framing |
221| Quantification | New metrics disclosed |
222| Commitment | Specific targets stated |
223
224## Segment Performance Comparison
225
226### Revenue Analysis
227
228| Segment | Prior Year | Current Year | Growth | Mix Change |
229|---------|------------|--------------|--------|------------|
230| Segment A | $X | $Y | Z% | +/- pp |
231| Segment B | $X | $Y | Z% | +/- pp |
232
233### Segment Health Indicators
234
235| Indicator | Positive | Negative |
236|-----------|----------|----------|
237| Growth | Accelerating | Decelerating |
238| Margin | Improving | Declining |
239| Share of Total | Increasing (if healthy) | Declining |
240| Investment | Increasing | Divesting |
241
242## Multi-Year Trend Analysis
243
244### 3-5 Year Comparison
245
246Track over extended periods:
247- Revenue CAGR
248- Margin trajectories
249- Balance sheet evolution
250- Risk factor patterns
251- Strategic consistency
252
253### Inflection Points
254
255| Signal | What Changed |
256|--------|--------------|
257| Growth acceleration | New product, market |
258| Margin expansion | Scale, efficiency |
259| Cash flow improvement | Working capital, CapEx |
260| Risk emergence | New competitive threat |
261| Strategic pivot | Changed direction |
262
263## Analysis Tips
264
2651. **Start with financials**: Numbers provide objective comparison base.
266
2672. **Read both MD&As**: Management commentary reveals context.
268
2693. **Track risk factor order**: Position indicates priority.
270
2714. **Note new disclosures**: First-time mentions often significant.
272
2735. **Compare segment detail**: Business unit changes reveal strategy.
274
2756. **Check footnote changes**: Accounting policy shifts matter.
276
277## Use Cases
278
279- **Investment research**: Understand company trajectory
280- **Due diligence**: Track performance evolution
281- **Competitive analysis**: Compare across competitors
282- **Risk monitoring**: Identify emerging concerns
283- **Earnings analysis**: Context for quarterly results