Profit is an opinion, cash is a fact. Great video.
@BrianFeroldiYT2 жыл бұрын
100% Rob!
@jorge52132 жыл бұрын
Amazing video !! Very valuable information, greetings from Chile !!
@BrianFeroldiYT2 жыл бұрын
Glad it was helpful Jorge!
@yagamiram2 жыл бұрын
I cannot ask anything more than this. Best video ever! What I love more about your channel is, you both reiterate the same terms and technique’s multiple times that makes me to understand more about it. Thanks! My qq: If the cash flow is negative, does it mean the company is not profited yet? Here, even after running a business for more than 30 years, is NFLX still in losses like other new companies like Uber, Lyft?
@BrianFeroldiYT2 жыл бұрын
Thanks Yagamiram! To your question, it depends on what you mean by "profit". Is profit net income? Then NFLX is profitable. Is profit free cash flow? Then it's not. This is why accounting is an imperfect language.
@r47592 жыл бұрын
Thank you so much for this quality videos. I'm learning so much. I'm starting to read company's S1 and earnings report to start understanding their numbers. Thank you!!!
@BrianFeroldiYT2 жыл бұрын
Great to hear Ravi!
@ssjj00510 ай бұрын
Is (Repurchase of Common Stock) same as stock buy back?
@jeffery8928 Жыл бұрын
I wish FCF didn't include SBC
@augustusg8572 жыл бұрын
Low fcf is a sign that company will require external funding through increased debt(more risk in the business, bankruptcy) and selling shares(dilution and Lower eps and lower stock price).
@BrianFeroldiYT2 жыл бұрын
100% correct
@efibendor12 жыл бұрын
In Netflix case “additions to content” could be seen as belongs to the cash flows from investing not from operations
@BrianFeroldiYT2 жыл бұрын
Right, they are investments in the business
@felipe741 Жыл бұрын
Amazing lesson! Thank you
@garrettdunnavant32412 жыл бұрын
Did you learn the majority of this through your education, or experience? I am in college right now and i've seen a lot of this before, but it doesn't always stick.
@BrianFeroldiYT2 жыл бұрын
Experience. I took accounting classes in school. I wasn't ever taught how to apply this to investing.
@augustusg8572 жыл бұрын
Cash from ops being negative is worse than fcf being negative because negative cash from ops means that a company cannot reinvest into keeping existing assets going and cannot buy new assets to grow even more. If they can't maintain their assets buy spending on cap ex maintenance they will lose revenue and ultimately net income and also lower net assets on the balance sheet. So equity on BS goes down too.
@BrianFeroldiYT2 жыл бұрын
Good point Augustus
@mixnmichael12 жыл бұрын
Is netflix ever gonna make more than they need to invest in new content? Seems like a big black hole for cash.
@BrianFeroldiYT2 жыл бұрын
They said that's the plan for 2022 and beyond
@JoseReyes-jq9kw2 жыл бұрын
Great value in this video it is one that I will save and come back to watching many times. Great job.
@BrianFeroldiYT2 жыл бұрын
Glad you enjoyed it Jose!
@MasterLeong8882 жыл бұрын
amazing thank you so much for the explanation
@BrianFeroldiYT2 жыл бұрын
Glad it was helpful Leong!
@yutingchang32602 жыл бұрын
this is very educational. Keep these type of videos coming.
@BrianFeroldiYT2 жыл бұрын
This is literally why we have a channel in the first place -- to make educational videos like this!
@Viibeezz2 жыл бұрын
As a CPA, I can say this is a great explanation of everything!
@BrianFeroldiYT2 жыл бұрын
Thanks James!
@sritamprout2 жыл бұрын
My favourite channel!
@BrianFeroldiYT2 жыл бұрын
Wow! Thansk for that!
@CieloGotCash2 жыл бұрын
hey love your channel best one on youtube!!!! what do you mean by plant?😅
@BrianFeroldiYT2 жыл бұрын
Thanks! Plant? Was that something I said?
@CieloGotCash2 жыл бұрын
@@BrianFeroldiYT the other brain😅 i think it was one of the cap ex