Good Investment Theses: VALUATIONS w/ FUNDAMENTAL ANALYSIS 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.

Strategies & Market Trends : Good Investment Theses: VALUATIONS w/ FUNDAMENTAL ANALYSIS

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Chuzzlewit who wrote (156)	7/19/1999 3:05:00 PM
From: ratan lal	of 160

You are right about not using the book value (breakup value). discounted value of future free cash flow is valid in that it shows the financial strength and viability of a co. In other words as long as its cash in is greater than cash out and the sales is growing then the co. is utilizing its cash properly. AMZN may have had negative cash flow. But thats where they came up with their convertible bonds to get more low interest cash which (hopefully) improved their cash flow. And when the stock price shot up maybe (i dont have the info) some stockholders converted to stock thereby reducing even their low interest debt. I dont believ in eye-ball valuation either since I have personal experience that I rarely if ever look at the banners. But thats how all newspapers, magazines, TV advertisers pay for their ads. SO it does have value. My understanding is that advertisers a re charged for each click and a premium for click-thru. Would love to see your valautions of cos. with earnings. More impaortantly, reasons why you consider your criteria superior. thanks

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next