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Compare companies from filings on a like-for-like basis

Align period, currency, units and metric definitions before ranking financial results.

A comparison table can make unlike figures look comparable. Before ranking companies, check whether the numbers describe the same kind of business over equivalent periods and under the same metric definition.

Start with two or three companies and one question. For example, you might compare operating margins within a sector over a stated period. A focused question makes it easier to spot a mismatch than an oversized grid of unrelated ratios.

Build a short comparison note

Record each company's reporting period, currency and unit. Check whether a figure is an annual total, a quarter or a year-to-date amount. Keep reported and adjusted measures separate, and read a company's reconciliation when it presents a non-GAAP figure.

CheckExample of a mismatch
PeriodA full year beside a nine-month figure
UnitsThousands beside millions
DefinitionOperating cash flow beside adjusted free cash flow
Business contextA bank ratio beside an industrial company ratio

Keep the filing within reach

The SEC's 10-K guide points readers to the business description, risk discussion and management's explanation as well as the financial statements. A ratio can identify a question, but it cannot supply every part of the explanation. Note any acquisition, discontinued operation or unusual item that materially affects your comparison.

Stock Screener can compare up to three companies and show reported financials over time. Its bundled data is refreshed through app updates, so inspect the filing period instead of assuming live intraday freshness. Keep the company source link and calculation definition with any conclusion you write. The comparison is an aid to research, not a ranking of what you should purchase.

Questions, answered

Can I compare companies reporting in different currencies?

Some ratios are unitless, but their definitions and periods still need alignment. Raw monetary totals need appropriate treatment before comparison.

Does an SEC filing mean the SEC endorses the numbers?

No. Companies prepare their filings. The SEC sets disclosure requirements and reviews filings; it does not vouch for an individual company's accuracy.

Sources & method

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