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Technology Stocks : Siebel Systems (SEBL) - strong buy?

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To: hueyone who wrote (6649)4/11/2003 6:19:15 PM
From: muckraker71  Read Replies (1) of 6974
 
regarding last year's loss, it's true that on a GAAP basis they lost money, however, that includes non-cash writedowns. But I should've said they are cash-flow positive. My real point was that their actual cash balance is increasing (with no increase in debt). To me, that's the surest measure of profitability.

Regarding stk opt expn, the market decline from the 2000 highs has rendered a lot of options worthless, while on paper they are still worth millions. I think it's counter-productive to include such a volatile number in an income statement. I think the issue does need continued study, because enough people are bothered by it. However, I do believe simply including the opt expn as a line item has the effect of distorting results rather than clarifying them.
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