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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: Stock Farmer who wrote (58494)	3/13/2002 5:01:52 PM
From: RetiredNow	Read Replies (1) \| Respond to of 77400

You talk of rigorous science, yet net income is already net of depreciation, so when you take net income (which is what I think you mean when you say earnings) and subtract depreciation from it again, you are reducing earnings twice for depreciation. I mean you have to at least give Cisco the credit it is due. The way to get Net PP&E out of net income is to ADD BACK depreciation to net income and subtract out capital expenditure. That will get you close to FCF.