TSX:STB.DB.A - Post by User
Comment by
BlueCollar51on Sep 21, 2015 8:27am
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Post# 24121112
RE:STB's value is largely off books
RE:STB's value is largely off booksCapharnaum wrote: The assets that let them make cash flow are off-books. The value of the shares reflect the revenue streams they get.
How much are worth all the contracts they have that generate cash flow? They're worth 4x-6x the cash flow provided, even if there's no assets directly on the balance sheet.
Off books assets are only a problem when they're not generating free cash flow, which is not the case for STB.
As to the dilution talks, well free cash flow per share has actually grown over time. This imo is the most important measure for this company.
You said that the FCF per share has been increasing over time which I agree would be positive. I decided to check that out. I may be using the wrong numbers and if so please correct me. I used;
FCF = “Net cash provided by operating activities” from the YE Financials
SHARES = “Weighted-average shares outstanding-basic” from the YE Financials
Assuming I am using the correct numbers the results don’t support your statement.
| Fiscal Year | FCF USD | SHARES | FCF / SHARE USD |
| 2009 | $35.54m | 43.23m | $0.82 |
| 2010 | $41.66m | 55.11m | $0.76 |
| 2011 | $36.34m | 57.76m | $0.63 |
| 2012 | $34.91m | 66.14m | $0.52 |
| 2013 | $52.10m | 79.43m | $0.66 |
| 2014 | $46.41m | 82.10m | $0.57 |
| 2015 | $49.72m | 87.35m | $0.57 |
As Always; Do Your Own Due Diligence; It’s Your Money !!