Post by
drunk@noon on Oct 31, 2024 1:19pm
Nuttall omits debt when he hypes a stock. For example at $70
oil it would take close to 6 years of free cashflow just to pay off debt. BTE is worse, as they have alot less inventory. And forget it if oil goes to 60, as it might as it can't even hold 70. Instead he will yap about free cashflow yeild and exgarates it. To be charitable at these levels, CPG FCF might come in at 10%. But like I said, you are using up 6 years of reseves to pay off debt, therefore it's not like getting a 10% yeild on your investment as each year you are using up a years inventory. There are a number of companies with no or little debt, some with net cash, who have higher free cashflow yeilds, yet nutal never pounds the table on those.