An Arithmetic mystery - need help

[Southie]

Re: An Arithmetic mystery - need help

@kakaballi

This discussion is not suitable for this forum but a couple of things:

1. Book value is much more stable (less volatile) than earnings.
   possible. I look at income cash flow and balance sheet statements. To that extent p to e p to Cash flow debt to equity price to equity all r consudered.

also is debt easily payable thru cash in hand plus free cash flow.

2. Buy backs impact both numerator and denominator of pe ratio, (ideally) keeping it constant.

Companies do buybacks to goose up eps. And price goes up accordingky. So p to e is consgang. And that’s my point. This constant p to e is a tally an inflated p to e. Cause prior moved up for no reason other than buybacks. That move in price not justifies

Rest can be discussed in your favorite forum.

Saarjee

aap sawal pooch rahe mai jawab deta ja raha.