sotp-valuation

name	sotp-valuation
multi_ticker_semantics	target_with_optional_peers
description	Sum of the Parts valuation, segment-based valuation, conglomerate valuation, business segment analysis, breakup value, segment sum valuation, parts worth more than whole, hidden asset value
temporal_scope	{"default_quarters":4,"max_quarters":12,"description":"Latest segment data with up to 12 quarters for segment trend"}
allowed_tools	["search_xbrl_facts","search_companies","get_realtime_quote","search_documents","read_source_outline","read_source_deep_outline","read_source_pages","get_statement_structure"]
retrieval_scope	unstructured_document_search
min_tool_diversity	7

Sum of the Parts (SOTP) Valuation

Values each business segment independently and sums for total enterprise value. Essential for conglomerates (GE, MMM, HON), multi-segment tech (AMZN: AWS + Retail + Ads, GOOG: Search + Cloud + YouTube), and holding companies. SOTP often reveals "hidden value" when the market undervalues individual segments.

Preflight

Run the canonical pre-flight sequence — MCP health probe, ticker resolution, workspace style.md override, memory load, and coverage check. See contracts/preflight.md.

Include the X-Agentii-Trace header on every tool call per contracts/x-agentii-trace-header.md.

Triggers

• sum of the parts valuation {ticker}
• SOTP analysis {ticker}
• segment-based valuation {ticker}
• breakup value {ticker}
• conglomerate valuation {ticker}
• parts worth more than whole {ticker}
• segment sum of parts {ticker}
• business segment valuation {ticker}
• hidden asset value {ticker}
• SOTP {ticker}

Defaults

Parameter	Default	Notes
segment_discovery	statement_tree	Use get_statement_structure for segment identification
peer_multiples	sector	Apply sector-appropriate multiples per segment
include_corporate	true	Subtract corporate overhead, net debt

Methodology

Retrieval Scope

unstructured_document_search — SOTP requires segment financials from XBRL (structured) AND segment narrative/business description from MD&A (unstructured) for appropriate multiple selection.

Retrieval Strategy

See contracts/retrieval.md for the canonical decision tree; skill-specific retrieval detail is in references/methodology.md.

Temporal Scope

Default lookback: 4 fiscal quarter(s); maximum: 12. The default balances recency against the trend window this analysis requires.

Tool Allowlist

Per frontmatter allowed_tools:

• search_xbrl_facts — primary structured financial facts (is_primary default)
• search_companies — ticker resolution + company context (entity-alias fuzzy match)
• get_realtime_quote — latest market price for valuation cross-checks
• search_documents — Layer 1 document discovery (page-level silver records)
• read_source_outline — Layer 2 lightweight page map (description + keywords)
• read_source_deep_outline — Layer 2.5a deep page map (table_titles/drivers/metrics)
• read_source_pages — Layer 3 deep read of selected pages with table markers
• get_statement_structure — XBRL presentation tree (concept hierarchy)

Protocol

Step-by-step execution detail is in references/methodology.md.

Deliverable Chain

Inputs → Build → Validate → Output → Next

1. Inputs: resolved ticker + structured facts (search_xbrl_facts, get_company_financials) and any filing pages from the three-layer protocol.
2. Build: write the .md sum-of-the-parts valuation (segment multiples, conglomerate-discount analysis) per ## Output Structure.
3. Validate: run the ## Validation Gates below.
4. Output: write the artifact path per ## Output File.
5. Next: append to agentii.md; hand off to a downstream pitch/review skill if requested.

Output File

Write the final deliverable to {ticker}/{YYYY-MM-DD_HHMM}_sotp-valuation_{affix}.md.

Output Structure

The deliverable is a structured markdown report written to the path in ## Output File. Full section-by-section template (headings, tables, and field definitions) lives in references/output-structure.md. Required elements:

1. Executive Summary — headline conclusions (≤200 words).
2. Core analysis sections — per this skill's methodology and analyst modes.
3. Data classification — tag findings [FACT] / [DEDUCTED] / [VIEW] per contracts/snapshot-synthesis.md.
4. Coverage Gaps & Citations — inline /v/ citations are PRIMARY (immediately after each fact); the bottom Citations section is a non-duplicative roll-up index.
5. Output frontmatter — emit the FR-090 structured block per contracts/output-frontmatter-schema.md.

Citations & memory: follow contracts/citation-and-memory.md — ≥1 citation per 200 words; every material fact, table row, and metric is immediately followed by its inline clickable https://agentii.ai/v/{ticker}/{citation_id}/{N} link; a bottom Citations section provides a non-duplicative roll-up index; the closing TUI reply includes a compact Key Citations list (headline 5–10 facts) of clickable /v/ URLs; and append the run to agentii.md per contracts/agentii-md-schema.md.

Validation Gates

1. Segment coverage: segment revenues must sum to ≥80% of total reported revenue. If failed: flag segments representing <80% of revenue; note "significant unallocated revenue."
2. Valuation consistency: segment multiples justified by at least one comparable company or sector norm per segment. If failed: flag segments with unsubstantiated multiples.
3. SOTP bridge integrity: Segment Sum - Corporate + Adjustments = Total Equity within 1%. If failed: refuse delivery; check bridge arithmetic.

Tool Fallbacks

Per-tool failure modes and fallback actions are tabulated in references/tool-fallbacks.md.

Memory & Snapshot

• Memory load (pre-flight): load prior workspace context for the ticker before retrieval — see contracts/memory-load.md.
• Structured output frontmatter: emit the FR-090 block (key_metrics, conclusions, facts_count, deducted_count, views_count, citation_count) per contracts/output-frontmatter-schema.md.
• Snapshot synthesis: after writing the deliverable, update the two-tier snapshot and classify findings as [FACT]/[DEDUCTED]/[VIEW] — see contracts/snapshot-synthesis.md.
• Session archival: record the run under sessions/{YYYY-MM-DD}/ and update sessions/INDEX.md per contracts/session-format.md.

Final Summary (TUI)

End the closing chat reply with a compact Key Citations list (headline 5–10 facts), each a clickable https://agentii.ai/v/{ticker}/{citation_id}/{N} link, so the user can cmd+click straight to the exact SEC page. See contracts/citation-and-memory.md.

Error Handling

Failure Mode	Action	User-Facing Message
No segment data	Company reports as single segment	"{ticker} reports as a single operating segment — SOTP not applicable. Use DCF or comps."
Missing segment financials	Proceed with available data; flag gaps	"Segment financials incomplete for {segment_names}; SOTP based on partial data."