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 : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?


To: Pirah Naman who wrote (49258)11/29/2001 3:26:02 PM
From: Uncle Frank  Read Replies (4) | Respond to of 54805
 
Before we skip past operational cash flow, how does a company derive a "Tax benefit from exercise of stock options", and do you think this is meaningful?

Re your comments on capex, your suggestion that we add in Depreciation & amortization and subtract purchases of property & equipment would seem to favor companies that don't find it necessary to add infrastructure to support anticipated growth. I'm not sure this is a reasonable way to evaluate growth companies.

uf



To: Pirah Naman who wrote (49258)11/29/2001 4:28:20 PM
From: Uncle Frank  Read Replies (1) | Respond to of 54805
 
>> Operational cash flow by itself would have made Enron look OK. Also companies have been slipping non-operational items in that section. So I think it would be to your advantage to calculate the free cash flow.

But wouldn't fcf, if done by the method you propose:

freeedgar.com

uf