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To: Chuzzlewit who wrote (7353)	12/6/1999 12:55:00 PM
From: mauser96	Read Replies (1) \| Respond to of 9068

"The company could just repurchase its own stock"- And that's exactly what most tech companies do if they have excess funds . Most SI type investors don't want dividends and the companies know this. In addition to free cash flow, I like to look at return on capital vs cost of capital and EVA per share as determined by the Stern Stewart method . Unfortunately this is only available for 1000 big companies.

To: Chuzzlewit who wrote (7353)	12/6/1999 1:01:00 PM
From: Saturn V	Read Replies (1) \| Respond to of 9068

Ref- < First, free cash flow includes the cash generated by the purchased businesses or capital expenditures. That is the whole point behind making these investments. Wise investments will become apparent as a healthy ROIC. Poor investments will manifest themselves as in the form of a rapidly deteriorating ROIC. > Your above statement is fair. But it is not fair, when you take a look only on a two year span, as you are in your post Message 12190435 Intel began investing in new lines of business during this period, and most new businesses as you know have gestation periods longer than you have chosen to analyze. I would like to see your cash flow analysis for a longer time frame like 5-7 year time frame. We should carry on this discussion on the Intel thread. Regards