Methodology

Last updated: February 2026

What THETA Does

THETA generates structured financial analysis reports using artificial intelligence. When you enter a company name, an AI model produces a report that applies common equity analysis frameworks to publicly available information about that company.

Key Technical Facts:

  • THETA does not connect to live financial data or market feeds
  • All numerical values (prices, ratios, estimates) are AI-generated approximations from training data, not verified current figures
  • The AI does not perform mathematical DCF computations; it applies valuation frameworks as described in financial literature
  • Reports are a starting point for your own research, not a substitute for it

The AI Model

THETA uses large language models (LLMs) provided by Anthropic (Claude). The model:

  • Generates text based on patterns learned during training on publicly available financial and business information
  • Applies analytical frameworks (DCF, multiples comparison, risk assessment) as commonly described in financial education materials
  • Does not connect to live market data feeds, Bloomberg terminals, or proprietary databases in real time
  • Does not execute financial calculations using a spreadsheet engine or dedicated financial modeling software

What the Reports Contain

Each report follows a consistent structure:

  1. Executive Summary:Overview of the company and key considerations
  2. Business Overview:Products, revenue model, margins, and economics
  3. Competitive Position:Moat analysis and competitive threats
  4. Growth Drivers:Key growth levers with assumptions
  5. Strategic Partnerships:Material business relationships
  6. Risk Assessment:Key risks with severity estimates
  7. Valuation Assessment:Scenario-based valuation with explicit assumptions
  8. Peer Comparison:Relative valuation multiples
  9. Directional Outlook:Qualitative forward assessment with stated assumptions
  10. Disclaimer:Legal and regulatory notices

Data Sources

The AI model's knowledge comes from its training data, which includes publicly available sources such as:

  • Company SEC filings (10-K, 10-Q, proxy statements)
  • Earnings call transcripts
  • Financial news and analysis from public sources
  • Industry reports and academic research
  • Public financial databases

Important limitations:

  • The model's training data has a knowledge cutoff date. Information after that date is not available.
  • The model does not access real-time stock prices, live financial data, or current news.
  • Financial figures cited in reports are approximate and may be outdated.

See our Data Sources page for more detail.

Valuation Approach

The reports present valuation scenarios, not price targets. The approach typically includes:

  • DCF-style Analysis: The AI applies discounted cash flow frameworks as described in financial education materials. It does not perform actual NPV computations with a spreadsheet engine. All figures are AI-generated estimates based on training data patterns, not calculated outputs.
  • Comparable Multiples: Comparison of valuation ratios (EV/EBITDA, P/E) against peer companies.
  • Scenario Analysis: Bullish, base, and bearish cases with different assumptions.

These are not predictions. They are illustrative scenarios that depend entirely on the assumptions used. Different assumptions produce very different results.

Known Limitations

# Limitation Impact
1 No real-time data Prices and figures may be outdated. Verify independently.
2 AI hallucinations Model may state incorrect facts confidently. Cross-check key data.
3 Training data bias Coverage varies by company size and region. Large, widely covered companies yield the most reliable results.
4 No independent verification Reports are not reviewed by human analysts. Treat as a starting point.
5 No personalization Reports do not consider your financial situation. Consult a licensed advisor.
6 Single-input limitation The model receives only a company name. It cannot analyze custom data.
7 English-language bias Models are primarily trained on English-language data.

What THETA Is Not

  • THETA is not a substitute for professional financial advice
  • THETA is not a financial data provider
  • THETA does not have access to proprietary or non-public information
  • THETA does not verify AI-generated content against primary sources in real time
  • THETA is not a licensed financial services provider

Feedback and Error Reporting

If you find errors in a THETA report, please contact us at miskiewicz.ventures@gmail.com. We take accuracy seriously and use feedback to improve our analysis system.

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