Silicon Investor (SI) -- The First Internet Community

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.

Non-Tech : Tyco International Limited (TYC) -- Ignore unavailable to you. Want to Upgrade?

To: Richard James who wrote (578)	11/4/1999 1:53:00 PM
From: Chuzzlewit	Read Replies (1) \| Respond to of 3770

Richard and thread, Just a few comments. If you take the time to examine the cash flow statements in the company's 10-Ks and 10-Qs you will quickly discover that this company has excellent cash flow. Regardless of all of the accounting gimmicks, cash flow paints a healthy picture. A second point needs to be made in this connection. Overly aggressive accounting practices leads to large disparities between taxes paid and the provision for income taxes. Normally, companies that are growing their physical asset base will have paid less in taxes than their provision for taxes. This is due in part to differences between depreciation allowed by the government (which is accelerated) and depreciation estimated by the company. Nevertheless, the large amount of taxes paid by the company ought to give longs a good measure of comfort. Finally, I have been an investor (very passive) since the late 80's, with a basis of around $3, and I am not worried. In fact, I am attempting to sell puts now (Jan 47 1/2). TTFN, CTC