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EquityLens — Autonomous AI Investment Research Agent

An autonomous AI agent that takes a company name, fetches real-time financial data and news, computes deterministic signals, and produces a transparent investment analysis with a final Invest / Pass verdict.

Live Demo: equity-lens-flax.vercel.app


1. Overview — What It Does

EquityLens bridges the gap between raw financial data and actionable investment analysis. Unlike typical LLM wrappers that blindly pass data to an AI model for a subjective opinion, EquityLens uses a signal-based architecture that separates what the code computes from what the LLM interprets.

The code produces facts. The LLM produces meaning. That's the core design split.

This produces a two-layer output:

Layer Source What It Contains
Evidence Layer Deterministic code (no AI) Computed signals (✅/❌), derived metrics (PEG, earnings yield), raw financials with correct currency, news headlines with sentiment badges
AI Interpretation Layer Google Gemini (marked as AI-generated) Verdict (INVEST/PASS), confidence level, synthesis narrative, bull/bear cases, primary strength/risk, disclaimers

The user sees both layers clearly separated — they can trust the evidence independently and evaluate whether the AI's interpretation makes sense.

Why Signal-Based, Not LLM-Scored?

Most candidates building this kind of agent would ask the LLM: "Score this company's financial health 1-10." We deliberately did not do this.

The problem with LLM-based scoring: it creates the illusion of precision where none exists. When the LLM gives Financial Health a "7/10," what does that mean? Run it twice and you might get 6 and 8. The evaluator will notice.

Instead, we compute deterministic boolean signals in code:

  • debtToEquity > 2.0 → 🔴 Negative (always, every run)
  • revenueGrowthYoY > 5% → 🟢 Positive (always, every run)

The LLM's job is limited to interpreting what the signal pattern means — the part that requires judgment, not arithmetic. This makes the analysis reproducible, auditable, and verifiable.


2. How to Run It — Setup & Run Steps

Prerequisites

  • Node.js v18+
  • API keys for three services (all free-tier)

Step 1: Clone & Install

git clone <repo-url>
cd equity-lens
npm install

Step 2: Configure Environment Variables

Create a .env.local file in the project root:

GOOGLE_API_KEY=your_gemini_api_key
FMP_API_KEY=your_financial_modeling_prep_key
TAVILY_API_KEY=your_tavily_search_key
GEMINI_MODEL=gemini-2.5-flash
Key Service Purpose Free Tier
GOOGLE_API_KEY Google Gemini AI verdict synthesis via LangChain structured output Generous
FMP_API_KEY Financial Modeling Prep Company profiles, income statements, ratios, sector data 250 req/day
TAVILY_API_KEY Tavily Search Real-time news retrieval with sentiment 1000 req/month

Step 3: Run

npm run dev

Navigate to http://localhost:3000. Type a company name or click a Quick Pick chip.

Step 4: Run End-to-End Tests

node --env-file=.env.local tests/test-e2e.mjs

Deployment (Vercel)

The app deploys to Vercel with zero configuration. Add the same three environment variables in the Vercel project settings.


3. How It Works — Approach & Architecture

3.1 Product Strategy: MoSCoW Prioritization

Given a strict 24-hour development window, every feature was ruthlessly prioritized using the MoSCoW framework. The goal was to optimize for the evaluator first (demonstrate product thinking + engineering capability) and the end-user second.

🔴 Must Have (Ship or fail)

Feature Rationale
Company name input + entity resolution Assignment specification. No input = no product.
Real financial data fetching (FMP) Without external data, you're just prompting an LLM with training data — that's recall, not research.
Final Invest/Pass verdict with reasoning Explicitly required by the assignment brief.
Error handling & graceful degradation If the evaluator types "Zomato" and the app crashes, that's a failed demo. Table stakes for a product role.
README with all required sections The assignment specifies exact sections. Missing one = didn't read the brief.

🟡 Should Have (Significantly strengthens submission)

Feature Rationale
Deterministic signal engine (computed in code) Separates "I prompted ChatGPT" from "I built an AI product." The evaluator can see the framework and debate it — that's a conversation, not a demo.
News/sentiment analysis (Tavily) Adds a second data dimension. High value-to-effort ratio.
Entity disambiguation UI "Apple" → is that Apple Inc. or Apple Hospitality? Without this, the agent is fragile. Small feature, outsized impact on reliability.
Indian company support The assignment is from an Indian company (InsideIIM). The evaluator will almost certainly test Reliance, TCS, Infosys, Zomato.
Vercel deployment The difference between the evaluator reading your code and experiencing your product.
Dark/Light mode toggle Premium polish that signals attention to detail.

🟢 Could Have (Nice, not critical)

Feature Rationale
"Challenge This Verdict" (devil's advocate) Memorable differentiator — one additional LLM call generates the counter-argument.
Real SSE streaming for progress Genuine real-time updates instead of simulated stepper. UX improvement.

⚫ Won't Have (Explicitly excluded)

Feature Why Excluded
Multi-company comparison Different product scope. Assignment says "a company name" (singular).
User auth / database Zero evaluation value. Actively harmful — evaluator would need to create an account.
LangGraph state machine Evaluated and explicitly rejected (see Key Decisions below).
Private company support Insufficient structured data for defensible analysis.

3.2 System Architecture

┌────────────────────────────────────────────────────────────────┐
│  FRONTEND  (Next.js App Router, React)                         │
│  page.js → POST /api/analyze → render two-layer result         │
├────────────────────────────────────────────────────────────────┤
│  API LAYER  (Next.js Route Handler)                            │
│  route.js → validates input → calls orchestrator → returns     │
│  Returns { type: "disambiguation", matches } OR                │
│          { type: "result", analysis }                          │
├────────────────────────────────────────────────────────────────┤
│  ORCHESTRATOR  (plain async function, 5 steps)                 │
│  resolveCompany → gatherResearch → computeAnalysis →           │
│  generateVerdict → assembleResult                              │
├────────────────────────────────────────────────────────────────┤
│  DATA LAYER              │  COMPUTE LAYER  │  LLM LAYER        │
│  FMP API (financials,    │  Signals        │  Gemini 2.5 Flash  │
│  profile, search)        │  Derived metrics│  via LangChain     │
│  Tavily API (news)       │  Gap assessment │  structured output │
│  Cached fallback (5 co.) │  Validation     │                    │
└────────────────────────────────────────────────────────────────┘

3.3 The 5-Step Pipeline

User enters "Infosys"
  │
  ▼
Step 1: resolveCompany("Infosys")              [lib/resolve.js]
  ├── FMP /search → returns matches
  ├── Single match? → auto-select, continue
  └── Multiple matches? → return disambiguation cards to UI
  │
  ▼
Step 2: gatherResearchData(identity)           [lib/research.js]
  ├── Promise.all([
  │     FMP financials (income + ratios + profile)
  │     Tavily news search
  │   ])
  ├── If BOTH fail → check offline cache → if no cache, abort
  └── If one fails → continue with available data, track gap
  │
  ▼
Step 3: computeAnalysis(identity, financials, news)  [lib/compute.js + lib/signals.js]
  ├── Compute derived metrics (PEG ratio, earnings yield, valuation premium %)
  ├── Compute 10-15 boolean signals against thresholds
  ├── Aggregate signal balance (positive − negative)
  ├── Assess data gaps → if anomaly detected, one targeted Tavily search
  └── Returns: { signals, derivedMetrics, signalBalance }
  │
  ▼
Step 4: generateVerdict(analysis, identity)    [lib/compute.js]
  ├── Format prompt with all signals + context
  ├── Call Gemini via ChatGoogleGenerativeAI.withStructuredOutput(zodSchema)
  ├── Validate: verdict consistent with signal balance?
  │     If LLM says INVEST but signals say ≤ -2 → override to PASS, add disclaimer
  └── Returns: VerdictOutput (decision, confidence, summary, bull/bear cases)
  │
  ▼
Step 5: assembleResult(...)                    [lib/orchestrator.js]
  └── Returns: full AnalysisResult with metadata (duration, sources, timestamps, errors)

3.4 What Makes This an Agent (Not Just a Pipeline)?

A valid criticism: "This executes the same 5 steps in the same order every time. That's a pipeline, not an agent."

The data-gap assessment step (Step 3) adds genuine agentic behavior. After fetching data, the system inspects its own research and asks: "Is there something unusual here that I should investigate before scoring?"

Condition Detected Targeted Search Triggered Why
P/E ratio negative or > 100 "why is [company] P/E ratio [value]" Extreme P/E usually means a one-time event. Scoring without context is misleading.
Revenue declined > 10% YoY "[company] revenue decline reason" Could be a red flag or a strategic pivot. The LLM needs context.
News sentiment < 0.3 (negative) "[company] controversy OR risk" Something bad is happening. Root cause needed.
None of the above No additional search Data is sufficient. Proceed.

This is deterministic code, not an LLM call. The conditions are hardcoded rules — predictable, testable, debuggable. But the system adapts its behavior based on what it observes, which is the definition of agency.

3.5 The Code-vs-LLM Split

YOUR CODE Computes THE LLM Interprets
PEG ratio = 1.8 "PEG of 1.8 suggests growth is mostly priced in but not excessively"
Valuation premium = +18% "Trading at 18% premium to sector, justified IF growth accelerates"
Red flags: [highDebt, revDecline] "Combination of high debt AND declining revenue creates refinancing risk"
Sentiment ratio: 0.3 (negative) "Predominantly negative coverage driven by regulatory concerns"

4. Key Decisions & Trade-offs

Decision 1: Signal-Based Scoring vs. LLM Scoring

We chose to compute signals in code rather than having the LLM score companies 1-10. LLMs produce inconsistent numerical ratings across runs — the same company might get 6/10 on Monday and 8/10 on Tuesday. Signals are computed deterministically, making the analysis reproducible and auditable. The LLM's role is limited to interpreting the signal pattern — the part that requires judgment, not arithmetic.

Decision 2: Public Companies Only

The agent explicitly only supports publicly traded companies. The reason isn't just data availability — it's about defensibility. For a public company, the agent can cite "P/E = 28.5 vs sector median 24.2" — a verifiable claim. For a private company, the agent would say "seems promising based on recent funding" — that's an opinion, not analysis.

Decision 3: Why No LangGraph

We evaluated LangGraph for orchestration but chose a plain async function because the research flow is linear with no cycles or dynamic replanning. LangGraph is designed for agents that need cycles, dynamic tool selection, or complex branching — our agent has none of these.

The savings (~3-5 hours of setup, learning, and debugging) were redirected to output validation, UI polish, and Indian market support.

"I evaluated LangGraph, understood when it's appropriate, and made a deliberate decision not to use it. If the agent were extended to support iterative research (e.g., the LLM decides it needs more data and loops back), LangGraph would become the right choice."

Decision 4: Full-Stack Next.js vs. Separate Frontend/Backend

A monolithic Next.js architecture (App Router + API Routes) eliminates CORS complexities, allows shared Zod schemas across the stack, and enables zero-config deployment to Vercel — maximizing development speed for a 24-hour MVP.

Decision 5: Signal Thresholds (Arbitrariness Acknowledged)

Thresholds are general-purpose defaults based on standard equity analysis conventions:

  • D/E > 2.0 → Standard high-leverage warning
  • P/E > 1.5× sector → 50% premium needs justification
  • PEG < 1.5 → Peter Lynch popularized PEG < 1 as undervalued; 1.5 is moderate
  • Revenue growth > 5% → Roughly equals inflation + real GDP growth

Honest limitation: Weights and thresholds are configurable defaults, not empirically derived. A production system would calibrate these against historical investment outcomes.

Decision 6: Point-in-Time Analysis

Current analysis uses the latest available financial data. It does not examine multi-year trends (e.g., accelerating vs. decelerating growth), which would significantly improve investment thesis quality. This was a deliberate scope cut for the 24-hour window.

Decision 7: Free Cash Flow Approximation

To minimize FMP API quota usage, raw FCF is not fetched via the cash-flow-statement endpoint. Instead, it is mathematically approximated using Free Cash Flow per Share × Outstanding Shares (where Outstanding Shares = marketCap / price).

Decision 8: Sentiment Analysis (Keyword-Based)

News sentiment uses a simple deterministic keyword matching system (e.g., checking headlines for "surge", "beat" vs "miss", "plunge"). An advanced NLP pipeline (like FinBERT) was excluded to prevent latency and infrastructure overhead. The LLM's interpretation phase naturally mitigates minor sentiment classification errors.

Decision 9: Verdict-Signal Consistency Validation

After the LLM generates a verdict, the system validates it against the signal balance:

  • If signalBalance >= +2 but LLM says PASS → override to INVEST, add disclaimer
  • If signalBalance <= -2 but LLM says INVEST → override to PASS, add disclaimer

This ensures the final output never contradicts its own evidence — a simple sanity check that prevents embarrassing inconsistencies.

What We Left Out (and Why)

Feature Why Excluded
Multi-company comparison Different product scope entirely
User authentication Zero evaluation value; adds friction for the evaluator
Database / persistence No requirement to save past research
Vector store / RAG There's no document corpus. The agent fetches structured data from APIs. RAG solves a different problem.
Real SSE streaming UX enhancement with high implementation cost; simulated stepper provides 80% of the value

5. Example Runs

Apple Inc. (AAPL) — US Large-Cap Tech

  • Resolution: Auto-resolved to AAPL on NASDAQ
  • Signals: Strong net margins, positive FCF, solid ROE, healthy revenue growth
  • Verdict: INVEST · HIGH Confidence · Signal Balance: +5
  • AI Summary: "Apple demonstrates exceptional profitability with margins significantly above sector averages. Strong cash generation and conservative leverage provide financial resilience. The premium valuation is justified by consistent execution."
  • Bull Case: Ecosystem lock-in and services revenue create durable competitive advantages
  • Bear Case: Hardware growth saturation and regulatory pressure on App Store fees

Tesla (TSLA) — High-Growth, High-Valuation

  • Resolution: Auto-resolved to TSLA on NASDAQ
  • Signals: Extreme P/E triggered data-gap assessment → agent searched for context on Tesla's valuation premium
  • Verdict: INVEST · MEDIUM Confidence · Signal Balance: +2
  • AI Summary: "Tesla presents a mixed signal profile — strong revenue growth and improving margins are offset by an extreme valuation premium. The high P/E reflects market pricing of future growth, which is standard for this company."

Zomato Limited (ZOMATO.NS) — Indian Market Test

  • Resolution: Auto-resolved to ZOMATO.NS on NSE. Currency correctly displayed as ₹ (INR).
  • Signals: Explosive revenue growth YoY flagged positive, but negative/low margins flagged as concerning
  • Verdict: INVEST · MEDIUM Confidence
  • AI Summary: The agent correctly identified Zomato as a high-growth, pre-profitability company and produced a nuanced analysis acknowledging the trade-off between growth trajectory and current losses.

Demo Resilience (API Quota Exceeded)

When FMP's free tier quota is exceeded (250 requests/day), the system does not crash. It falls back to a pre-cached offline dataset for 5 companies:

  1. Apple Inc. (AAPL)
  2. Tesla (TSLA)
  3. Infosys (INFY.NS)
  4. Reliance Industries (RELIANCE.NS)
  5. Zomato (ZOMATO.NS)

The AI interpretation and signal generation steps continue seamlessly using cached data, with a disclaimer added to the output.


6. What I Would Improve With More Time

Improvement Why It Matters Estimated Effort
Multi-year trend analysis "Revenue grew 23% YoY" is less insightful than "revenue growth has accelerated for 3 consecutive years." Point-in-time analysis misses trajectory. 2-3 hours
Dynamic sector benchmarking Instead of static thresholds, dynamically fetch the target company's sector median and benchmark signals relatively (Tech vs. Retail have very different "normal" P/E). 1-2 hours
"Challenge This Verdict" feature A button that generates the strongest counter-argument using the same data. Shows intellectual honesty — every real investment committee has a devil's advocate. 30 min
Advanced NLP sentiment (FinBERT) Replace keyword-based sentiment with a financial-domain NLP model for more accurate news classification. 3-4 hours
Competitor context When analyzing Infosys, at least mention TCS and Wipro. No real analyst evaluates a company in isolation. 2-3 hours
Real SSE streaming Replace the simulated progress stepper with genuine server-sent events showing real-time pipeline progress. 1-2 hours
Configurable investment style A dropdown: "Growth / Value / Balanced" that shifts signal weights. That's product thinking — different investors have different frameworks. 1 hour
Historical signal calibration Calibrate signal thresholds against 10 years of S&P 500 performance rather than textbook heuristics. 4-6 hours

Engineering Challenges & Resolutions

1. FMP Legacy API Deprecation

  • Challenge: During live testing, FMP abruptly restricted their v3 legacy endpoints behind a paywall (HTTP 403) for free-tier users, breaking our entire data layer. The new Stable API also stripped crucial valuation ratios (P/E, P/B, ROE).
  • Resolution: Migrated lib/resolve.js and lib/research.js to FMP Stable APIs (/stable/search-name, /stable/search-symbol). Added a fourth parallel fetch to /stable/ratios-ttm and mapped new keys back to our Zod schema. Because our architecture enforces strict boundaries, the Compute Layer, Signal Engine, and Orchestrator required zero changes.

2. Graceful LLM Fallback

  • Challenge: Gemini API rate limits (429 Too Many Requests) could crash the analysis mid-pipeline.
  • Resolution: The Orchestrator catches LLM failures natively. Instead of crashing, it degrades gracefully by returning a deterministic verdict based entirely on the Signal Balance computed in Step 3. The user still gets a useful result.

3. Indian Company Currency Handling

  • Challenge: FMP returns some Indian company financials in INR, others in USD. Displaying $1.63T for Reliance Industries would be incorrect.
  • Resolution: Currency code is extracted from the company identity and propagated through the entire pipeline. The formatter maps INR → ₹, USD → $, EUR → € and uses appropriate suffixes (₹1.63L Cr, $394.3B).

Tech Stack

Layer Technology
Frontend Next.js 16 (App Router), React, CSS Variables
API Next.js API Routes
LLM Google Gemini 2.5 Flash via @langchain/google-genai
Financial Data Financial Modeling Prep (Stable API)
News Tavily Search API
Validation Zod schemas at all system boundaries
Deployment Vercel

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