Developer Builds Auto-Scanner to Detect SEC Dilution Filings Before They Hit Stock Prices
A developer has built a tool called Filing Firehose that monitors the SEC EDGAR database every 60 seconds for key filings — including S-3 registrations and 424B5 prospectus supplements — that signal upcoming stock dilution. The tool targets a pattern where companies quietly issue new shares overnight via shelf registrations, causing sudden 10–15% price drops that catch retail traders off guard. It cross-references offering sizes against float data and scores tickers across risk bands using a red-flag taxonomy that includes officer departures, bankruptcy language, and listing-standard notices. The service offers one-time forensic reports for $49 per ticker, with each finding cited directly to its EDGAR accession number, and includes free sample reports for widely watched tickers. The developer also shared technical lessons, including pre-computing heavy data scans nightly rather than inside request handlers to avoid performance failures.
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