These Two GenAI-Enhanced Earnings Reports Were Engineered for Investment Professionals

There has been a lot of discussion surrounding GenAI in the investment space. On one hand, funds have completely embraced the technology. On the other, lingering fear and skepticism.

Yes, GenAI is prone to hallucinations when tasked with duties outside of its wheelhouse. To date, out-of-the-box chatbots have failed to provide the quality and consistency necessary for financial research. Designed by developers, these AI tools just don’t know the investment space.

That’s why investment and research analysts at VerityData have designed proprietary GenAI solutions that combine their financial expertise with VerityData’s parsed and structured SEC filings. The result does a far better job of summarizing and analyzing financial information than AI chatbots currently available.

In this blog, we’ll cover the GenAI summary reports (earnings call transcripts & 10-K/10-Q analysis) now available in VerityData | inFilings and highlight how they help investment teams get informed and act quickly during earnings season.

GenAI Summaries of Earnings Call Transcripts With Sentiment Analysis

With the GenAI Earnings Transcript Summaries, investment teams can get a fast, high-level readout of the content of an earning call, including the sentiment of the management team on the topics discussed.

In the sample report below, color-coded sentiment analysis of the Delta Air Lines earnings call on January 12, 2024, provides a quick jumping-off point that can guide and/or frame your attention. Importantly, sentiment is broken down at the topic level.

VerityData’s GenAI Earnings Transcript Summaries include sentiment analysis, which is itemized by topic rather than broadly applied to the whole summary.

View the Full Report >>

How to Use It in Your Workflow

Current VerityData clients are using the report to augment and enhance their existing processes for more confidence and focus.

“Am I missing anything? After you listen to the call, make sure you didn’t overlook anything. The summaries provide a check and balance that can offer increased confidence.

“What should I prioritize?” The summaries help you monitor your coverage universe during peak periods. They provide a good first cut that helps you prioritize your focus.

“What’s important in a particular industry/sector?”  The summaries let you quickly catch up on large volumes of content. For example, when an analyst is covering a new sector.

Listen to Differentiated Episode 7: What’s in a Modern Earnings Workflow? 

10-K/10-Q Report With GenAI MD&A Summary

Verity analysts have also engineered GenAI summaries of one of the most actionable sections of a 10-K/10-Q: the MD&A.

The MD&A portion of the 10-K or 10-Q is sent to a large language model, which summarizes the content.  Our analysts use their expertise to tailor those summaries.

At the top of reports, you’ll always find key financials and KPIs. The AI extracts any other key information and then there is an outlook section including any forward looking information.

Taken together, it provides a quick understanding of the key points from the MD&A, which should save a lot of time as you’re going through your earning season process.

The summary has been embedded into VerityData | inFilings’ popular 10-K/10-Q summary reports. The report also includes:

• Heatmaps alerting you to new or important changes in the most recent filing.
• Redlines highlighting substantive text changes compared to the company’s previous filing.

Now you can get a detailed summary, one designed around the information needs of institutional investors, before diving in.

See the Full Adobe 10-K Summary Report >>

Dive In With Senior Analyst Max Magee

Bottom Line

This earnings season is an opportune time for investors to dismiss any lingering skepticism and enhance their analysis with GenAI. With VerityData | inFilings, professional investors get analyst-engineered results that outshine the AI bots currently available. The result positions financial professionals for the paradigm shift ushered in by GenAI and modernizes how we approach data analysis and decision-making.

Is It Time to Modernize Your Earnings Workflow?

Accelerate your earnings analysis with GenAI assistance engineered by analysts and powered by clean, structured, and exclusive data available through VerityData | inFilings.

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