SI
SI
discoversearch

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 : Value Investing
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Graham Osborn who wrote (61733)2/19/2019 1:55:14 PM
From: Paul Senior  Read Replies (2) of 78702
 
GOOG makes lots of investments for future business. If those monies are capitalized as necessary capital expenditures, doesn't that amount reduces reported owner earnings? (??)

To me, GOOG's reported operating cash flow multiple seems high but reasonable for companies that sell at a high p/e and have high rev. growth. Jmo, of course, and I'm in FB and GOOG, partly
because of these cash flow numbers.

You report a p/tb for these companies. You seem fixated on tangible bv. What's the point though? If tangible bv is a measure of safety, high p/tbv is going to keep you maybe safe but also out of these companies maybe forever. For me, I use stated bv as a proxy around which stocks trade. That's only for some businesses though. Not for tech, because intellectual property stocks just don't work that way -- they almost always trade much higher than bv.

That GOOG provides lunch for employees seems like an irrelevant tick as regards whether GOOG is subsidizing employees to the detriment of stockholders.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News