RE:PEY actually paid off $50m in debt in Q3let me try and simplify your perspective
CF = i.e. Cash Flow comes in four varieties - A) from operations B) from operating activities (not the same thing) C) from/to investing and D) from/to financing
you can simplify your perspective on a stock by focusing on "A"
CFO = Cash Flow from Operations - this is a measure of SHORT TERM ability to generate cash an is a direct result of operating efficiencies
the other three measures reflect non-producing changes in cash positioning, so from that perspective they are largely what you refer to as "accounting chits" shuffle
ON THE OTHER HAND
NET INCOME is the bottom line effect of all the short term changes in cash flow, AS WELL AS all the various accounting mumbo jumbo adjustments that can confuse the heck out of one at a glance (depreciation, amortization, non-cash investing/financing costs, etc) - HOWEVER -this is a VERY IMPORTANT measure of LONG-TERM SUSTAINABILITY, so DON'T IGNORE IT
there are many ways to skin a financial reporting cat, but if you glance at the two key metrics above, you'll get a quick picture of FINANCIAL performance of a company, SHORT TERM and LONG TERM
in other words - any company need CASH FLOW FROM OPERATIONS to survive a short term cash crunch, but it needs NET INCOME to survive in the long term
with that in mind
PEY has consistently deliverd ON BOTH FRONTS - they may be hated by some, but they are survivors
SIDE NOTE - debt can be a "good thing" - if you pay say 5% interest but use that money to produce more than 0% increase of Net Income using the borrowed cash, then, you are clearly ahead of the game - it's called LEVERAGE and it can work for you (particularly in rising price envirnment) - as long as what you make in extra margin is more than what you pay in interest, in theory, debt is a good thing ... classic example from accounting theory - if you can make $101 spending $100, you should go ahead and do it