Liberty Posted November 23, 2017 Share Posted November 23, 2017 I'm enjoying this Michael Mauboussin presentation (from 2014), thought others here might as well. Link to comment Share on other sites More sharing options...
Liberty Posted September 14, 2018 Author Share Posted September 14, 2018 New Mauboussin paper (Sept 13, 2018): https://www.bluemountaincapital.com/wp-content/uploads/2015/03/What-Does-an-EV-EBITDA-Multiple-Mean.pdf Link to comment Share on other sites More sharing options...
gary17 Posted September 16, 2018 Share Posted September 16, 2018 New Mauboussin paper (Sept 13, 2018): https://www.bluemountaincapital.com/wp-content/uploads/2015/03/What-Does-an-EV-EBITDA-Multiple-Mean.pdf Thanks for sharing this -- very informative... Quick questions: 1) do you think share-based compensation should be accounted for in determining owner's earning / free cash flow? I know some companies like to use Adjusted EBITDA that adjusts EBITDA by adding the share based compensation back to make the cash earning look stronger since it's not a cash item. I personally think it's a real cost and ought to be considered in valuing a business. 2) I wonder why it's reasonable to use NOPAT and ROIC / ROIIC to assess a business when NOPAT does not back out the interest expense... (NOPAT = EBIT - tax). Isn't interest a real expense and especially true for businesses that have a lot of debt ? Thanks! Gary Link to comment Share on other sites More sharing options...
Cigarbutt Posted September 16, 2018 Share Posted September 16, 2018 ^For 1) either keep the share-based compensation as a "true" expense or add it back and use the diluted share number. Tough question especially since this line item can be quite large and since, in a way, this expense can be seen as a discounted loan from existing shareholders to management/employees where the ultimate value (value of which one could derive with company's disclosures using models but which often end up very far from estimates) to be "paid back" upon maturity is still unknown. This can "become" a more expensive owner expense over time but, fortunately, if that's the case, as a share holder, you likely end up rewarded by the market too unless management is better at timing of exercise and sale of shares. For 2) NOPAT is an unlevered measure. Link to comment Share on other sites More sharing options...
Liberty Posted January 30, 2019 Author Share Posted January 30, 2019 Good thread by Michael Mauboussin about his 27th year teaching an investing class. He links off to a lot of interesting things, talks about what he's learned, etc. Link to comment Share on other sites More sharing options...
netnet Posted January 30, 2019 Share Posted January 30, 2019 Here is Mauboussin's syllabus for his current course at Columbia.Security_Analysis_Mauboussin_SP2018.pdf Link to comment Share on other sites More sharing options...
Liberty Posted February 21, 2019 Author Share Posted February 21, 2019 Mauboussin's latest paper: https://www.bluemountaincapital.com/wp-content/uploads/2019/02/Who-Is-On-the-Other-Side.pdf Link to comment Share on other sites More sharing options...
york Posted March 20, 2019 Share Posted March 20, 2019 These are two great talks Shane Parish did with Michael. https://fs.blog/2018/02/michael-mauboussin-interview/ https://fs.blog/michael-mauboussin/ Link to comment Share on other sites More sharing options...
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