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Strategies & Market Trends : Value Investing

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To: E_K_S who wrote (29210)12/11/2007 6:28:36 PM
From: Paul Senior  Read Replies (1) of 78746
 
re: "Interesting read on Valuing Companies using Free Cash Flow"

Written 15 April 2007:
"At any rate, at 22x current and 19x times potential TFCF, Intel’s stock isn't likely to reward investors with large gains in a year or less, but it should provide a decent margin of safety (downside risk of below 20%, even in a bad market)."

I'm satisfied with INTC which I bought in '06. Still holding my shares, as are you EKS, I imagine. I bought on p/e about which they say,

"The investing media remains antiquated and basic, focusing almost solely on the often misleading earnings per share P/E ratio, even though free cash flow is the only true lifeblood of any company."

Oh well.

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I'm buying a little DIS again today based on forward p/e. Here are guys though who like it as a buy for cash flow:

marketwatch.com{B2FBD367-BE69-4816-A00D-18BEB304A5AD}&siteid=nbc
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