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Technology Stocks : Applied Materials No-Politics Thread (AMAT) -- Ignore unavailable to you. Want to Upgrade?

To: Kirk © who wrote (12109)	11/18/2004 12:26:21 PM
From: BWAC	Read Replies (2) \| Respond to of 25522

Point. Depreciation is an expense, it reduces your GAAP earnings. But since you have already invested cash in the asset, the depreciation throws off cash that is not recorded as earnings. Now what was done with that cash? Did AMAT reinvest it all into more income producing assets? Or did they use some of the cash flow to buyback stock for option giveaways? If they aren't going to use it all to grow and buy more incoming producing assets (ie reinvest in future business), then they 'could' give it back to you as a dividend. Of course then you'd feel 'entitled'. <g>