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ousvyatsky.bsky.social
@ousvyatsky.bsky.social
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What companies do not tell us about construction-in-progress, SEC observations on CAPEX accounting, and what types of SEC comments to expect - read the full piece below!

Between Headlines and Numbers: Tracking What We Can’t Yet See in AI Buildouts open.substack.com/pub/deepquar...
Between Headlines and Numbers: Tracking What We Can’t Yet See in AI Buildouts
A look at what’s still opaque in AI infrastructure disclosures.
open.substack.com
December 27, 2025 at 4:16 PM
Reposted by ousvyatsky.bsky.social
fmckenna.bsky.social
Great job @ousvyatsky.bsky.social for bring more awareness to the construction in progress hole everyone throwing chips into.
December 24, 2025 at 3:30 PM
I am excited to be quoted by Mark Maurer of the WSJ!
Investors are hungry for information about AI investments, but the disclosure doesn't keep up. @fmckenna.bsky.social www.wsj.com/articles/ai-...
AI Construction Costs Can Be an Accounting ‘Black Box’
Spending on chips is generally lumped together with data-center building costs on corporate balance sheets, even as the lifespan for chips can be much shorter.
www.wsj.com
December 24, 2025 at 3:17 PM
Tax rulings can spill over company or even industry borders. How can investors avoid surprises and detect the spillover effect before it shows up as a one-time charge? My new piece discusses who can be affected by Hyatt's loyalty program tax case: deepquarry.substack.com/p/the-tax-tr...
The Tax Treatment of Loyalty Programs; And Why Hyatt Matters Beyond Hyatt
What Hyatt’s loyalty-program litigation reveals about hidden exposure, deferred taxes, and who could be next.
deepquarry.substack.com
December 22, 2025 at 6:01 PM
Reposted by ousvyatsky.bsky.social
ivanthek.bsky.social
"Looks good to me. Pay the tariffs at the window."
December 9, 2025 at 7:38 PM
Reposted by ousvyatsky.bsky.social
theinformation.com
OpenAI has lowered its projections for AI agent revenue by $26 billion over the next five years, expecting to rely more on growing subscription revenue from ChatGPT. Learn more: https://thein.fo/4acV9Xd
Microsoft Lowers AI Software Growth Targets as Customers Resist Newer Products
Executives at Microsoft and other enterprise software firms heralded 2025 as the year artificial intelligence would be capable of automating tasks that involve multiple steps, such as generating dashb...
thein.fo
December 8, 2025 at 8:45 PM
AI depreciation: are expenses understated?
Companies have billions of construction-in-progress on the books where depreciation didn't even start yet!

Read my full piece: deepquarry.substack.com/p/depreciati...
Depreciation of GPUs: between useful lives and useful myths
A data-driven look at how Big Tech revises depreciation estimates, what the changes signal, and why today’s disclosures leave investors piecing together an incomplete picture.
deepquarry.substack.com
December 8, 2025 at 6:46 PM
Reposted by ousvyatsky.bsky.social
fmckenna.bsky.social
open.substack.com/pub/deepquar... The definitive digest on GPU and other AI-related depreciation from my friend and frequent collaborator @ousvyatsky.bsky.social FYI @michaeljburry.bsky.social .
Depreciation of GPUs: between useful lives and useful myths
A data-driven look at how Big Tech revises depreciation estimates, what the changes signal, and why today’s disclosures leave investors piecing together an incomplete picture.
open.substack.com
December 7, 2025 at 1:58 AM
Microsoft and OpenAI: material details of the agreement are still missing. Also, what would it take for Microsoft to start fair-valuing its investment? @fmckenna.bsky.social

Microsoft starts talking about OpenAI, but disclosures still fall far short of complete
open.substack.com/pub/deepquar...
Microsoft starts talking about OpenAI, but disclosures still fall far short of complete
Microsoft recently said a lot more about its investment in OpenAI but despite news of arguably material and growing losses, the disclosures still leave a lot to be desired.
open.substack.com
November 17, 2025 at 2:52 PM
My new piece: $META $15.9 billion tax shock - who else is affected by CAMT and by how much?
Read the full piece: deepquarry.substack.com/p/metas-159-... @fmckenna.bsky.social
Meta's $15.9 billion tax shock: when One Big and Beautiful Bill meets CAMT
Meta's $15.9 billion tax hit reflects Biden-era CAMT tax. Who else is affected?
deepquarry.substack.com
November 12, 2025 at 3:20 PM
Contagion 101 for bank investors: accounting themes rhyme. If one bank restates, others may follow. I identify three banks that had a Big restatement for the same issue - is it a pattern to watch for? @fmckenna.bsky.social

Fresh Eyes, Big Restatements
open.substack.com/pub/deepquar...
Fresh Eyes, Big Restatements
PCAOB’s 2005–2024 data shows companies with Big R restatements were ~3x likelier to have just switched auditors.
open.substack.com
October 28, 2025 at 9:39 PM
ICYMI - As $BTC price slips, would liquidity issues force $MSTR to liquidate part of the holdings, ending its "buy-and-hold-forever" strategy? @fmckenna.bsky.social

Strategy popularized Bitcoin treasuries but the cash to pay for it doesn't grow on the blockchain open.substack.com/pub/deepquar...
Strategy popularized Bitcoin treasuries but the cash to pay for it doesn't grow on the blockchain
Bitcoin treasuries have market and interest rate risk, face earnings volatility from fair-value adjustments, and liquidity is trapped in a volatile asset. Just wait until regulatory scrutiny returns!
open.substack.com
October 16, 2025 at 5:11 PM
New restatements analysis from the PCAOB.

Worth mentioning that most of the uptick in 2024 restatements was related to SEC sanctions on BF Borgers and SEC comment letters scrutiny. @fmckenna.bsky.social

pcaobus.org/resources/st...
Data Points - Financial Restatements and Auditor Turnover
pcaobus.org
October 16, 2025 at 12:59 PM
New update is available!

Why 10-K/As matter: they can be the first place to disclose restatements or control issues. Q3’25: 96 amended 10-Ks, with 25 tied to errors.
My new update is [email protected]

open.substack.com/pub/deepquar...
Red Flags in Amended Annual Reports - Quarterly Update #8
A quarterly review of compliance trends, SEC comment letters, and the complexities of recovery analysis
open.substack.com
October 16, 2025 at 12:39 PM
Reposted by ousvyatsky.bsky.social
bloomberg.com
Wells Fargo shares soared after the firm laid out its first major update of a mid-term profitability target since regulators lifted an asset cap for the bank
Wells Fargo Shares Rally Most Since Trump Won the Election
Wells Fargo & Co. shares soared after the firm laid out its first major update of a mid-term profitability target since regulators lifted an asset cap for the bank.
bloom.bg
October 14, 2025 at 11:00 PM
Interim IRS guidance may lower $MSTR and $COIN tax liability on unrealized bitcoin gains related to fair value adjustments. Our new piece with @fmckenna.bsky.social

Strategy popularized Bitcoin treasuries but the cash to pay for it doesn't grow on the blockchain open.substack.com/pub/deepquar...
Strategy popularized Bitcoin treasuries but the cash to pay for it doesn't grow on the blockchain
Bitcoin treasuries have market and interest rate risk, face earnings volatility from fair-value adjustments, and liquidity is trapped in a volatile asset. Just wait until regulatory scrutiny returns!
open.substack.com
October 10, 2025 at 3:23 PM
My new piece: B. Riley’s Accounting Knot: Material Weaknesses, Big Write-downs, and a Rising Audit Bill open.substack.com/pub/deepquar... @fmckenna.bsky.social
B. Riley’s Accounting Knot: Material Weaknesses, Big Write-downs, and a Rising Audit Bill
B. Riley’s 10-K highlights internal control failures, impairment charges, and a large increase in valuation allowance.
open.substack.com
October 1, 2025 at 1:46 PM
$RILY taps BDO as its new auditor, disclosing that other qualified audit firms provided non-audit services that may pose an independence risk.

Read the full piece:

B. Riley’s Auditor Transition Under Constraints open.substack.com/pub/deepquar...
B. Riley’s Auditor Transition Under Constraints
B. Riley hires BDO as its new auditor, discloses independence-related conflicts with other qualifying firms
open.substack.com
September 16, 2025 at 2:32 PM
More than a third of SEC comment letters on the IPO filings, including those of $CRCL, were released late. @fmckenna.bsky.social

My latest piece: SEC comment letters trends in three charts: fewer releases and longer delays open.substack.com/pub/deepquar...
SEC comment letters trends in three charts: fewer releases and longer delays
What the data shows about oversight shifts and why dissemination lags matter for investors.
open.substack.com
September 9, 2025 at 12:34 PM
Reposted by ousvyatsky.bsky.social
fmckenna.bsky.social
Clawback rule update via @OUsvyatsky.bsky.social.

“…are companies with “BigR” restatements less likely to rely on accounting-based metrics for exec comp?”

I’d ask: Are cos using alt comp metrics more likely to BigR restate because no one cares about GAAP numbers? open.substack.com/pub/deepquar...
SEC Compensation Recovery Rule: Restatements and Related Clawbacks, Quarterly Update # 2
A quarterly review of compliance trends, SEC comment letters, and the complexities of recovery analysis
open.substack.com
August 25, 2025 at 1:35 PM
Reposted by ousvyatsky.bsky.social
theinformation.com
Creator Economy: Newsletter publisher Beehiiv is on track to double its revenue this year as it hones its pitch to recruit writers from Substack, its founder and CEO tells The Information.

Read more from @kyurieff.bsky.social and Akash Pasricha 👇
https://bit.ly/4lC2zVI
How Beehiiv Is Taking on Substack
Newsletter publishers are having a moment again. Beehiiv, a four-year-old competitor to the larger and older Substack, is on pace to double its total revenue this year, to $30 million, CEO and co-foun...
bit.ly
August 19, 2025 at 10:32 PM
What are the most common reasons for NYSE and Nasdaq delisting notices, and why did $RILY need to request a 180-day compliance extension from Nasdaq?

Read my piece to find out: deepquarry.substack.com/p/trends-in-...
Trends in exchange listing deficiency notices: key risk areas for public companies
An analysis of recent Nasdaq and NYSE enforcement patterns, from financial triggers to governance and SPAC-specific concerns.
deepquarry.substack.com
August 17, 2025 at 2:31 PM
In our new piece, @fmckenna.bsky.social and I examine the terms of Musk's 2025 RSU award and explain accounting and legal consequences. Does a legal contingency qualify as a "performance condition," and would recording no compensation expenses now be appropriate?
open.substack.com/pub/deepquar...
Tesla's net $23.7 billion stock grant: legal loopholes, accounting twists, and the Tornetta appeal
A deep dive into the unusual 2025 CEO award, its Nasdaq compliance questions, conflicted board dynamics, and how an appeal could trigger - or erase - billions in compensation.
open.substack.com
August 12, 2025 at 3:33 PM
Reposted by ousvyatsky.bsky.social
fmckenna.bsky.social
open.substack.com/pub/thedig/p... My friend and frequent collaborator @ousvyatsky.bsky.social and I explain it all with a little help from our friends @annmlipton.bsky.social and @montanaskeptic.bsky.social .
Tesla's net $23.7 billion stock grant: legal loopholes, accounting twists, and the Tornetta appeal
A deep dive into the unusual 2025 CEO award, its Nasdaq compliance questions, conflicted board dynamics, and how an appeal could trigger - or erase - billions in compensation.
open.substack.com
August 12, 2025 at 2:51 PM
Even limited disclosures show PCAOB inspections can surface material issues—like control failures and restatements—before they escalate. For investors, that means fewer surprises and stronger reporting. Full data-driven post @ Deep Quarry: open.substack.com/pub/deepquar...
The PCAOB role in safeguarding investors comes into focus amid legislative debate
Several disclosures link PCAOB inspections to the identification of control failures and misstatements, informing the debate over the regulator’s role in protecting investors.
open.substack.com
August 7, 2025 at 2:41 PM