AUTOHOME, Inc Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : AUTOHOME, Inc

ATHM 23.76

+1.2%

Nov 28 9:30 AM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: E. Davies who wrote (10900)	6/9/1999 7:35:00 PM
From: DOUG H	Read Replies (1) of 29970

And in addition it would decrease the present value of any cash/ST securities <<<<Decrease the present value of cash? eh?>>>>>> Eric, Sorry to confuse. On some income statements cash and short term securities held are refered to as 1 item. Hence, cash/ST securities. I hold cash in money market,30-60-90 C.D.'s. These CD's lose value as rates increase. My termonology was not correct. The only way cash loses it's present value is if you leave some in your pants and your wife washes them!! <<<Bottom line is that the present value cash does not change with interest rates at all. Thats why its called "present" value! The whole idea that a company with more cash should be worth more as rates go up seems utterly absurd to me. Am I missing something?>>>> I agree, it makes no sense unless the company has so much cash on hand that the increased interest earned by those deposits offset losses one would expect in sales revenue to the same company. I can't imagine that being the case with AOL or anyone else.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next