Cash Flows Explained

Wallmine link: wallmine.com/users/sign-up?r=...
Warren Buffett and many other prominent investors have long preferred to measure a company's performance by their cash flows (found on the cash flow statement) rather than their reported earnings numbers... but what exactly are cash flows, and why are they given more weighting? Let's find out on today's episode
If you'd like to support the channel, you can do so at Patreon.com/ThePlainBagel :)
Intro/Outro Music: www.bensound.com/royalty-free...
DISCLAIMER:
This channel is for education purposes only and is not affiliated with any financial institution. Richard Coffin is not registered to provide investment advice and as such does not provide recommendations on The Plain Bagel - those looking for investment advice should seek out a registered professional. Richard is not responsible for investment actions taken by viewers.

[@keneokeke200]

This is by far the simplest video on cash flow statement on youtube. Kudos to the creator

[@craigbuckley7603]

Well done this is probably one of the the best videos on cash flows

[@chasingmypinnacle]

Agreed!

[@moomaniac2932]

Damn and it's still nonsense to me 😪

[@annatorey7236]

@@moomaniac2932 what are you having trouble with?

[@moomaniac2932]

@@annatorey7236 dont worry about it, I appreciate the offer for help though

[@israelgonzalez4572]

Definitely

[@Sprinklesofjoy]

Good video. I would add that the Cash Flow Statement is NOT HARD FOR MANAGEMENT TO MANIPULATE. Too many investors jump straight to the CF Statement in the assumption that it can't be messed around with. It is easy to move cash around the place, particularly from CF from Financing Activities to CF from Operations and vice versa. In addition, the CF statement starts getting unreliable for companies that engage in a lot of M&A (e.g. ABInBev, PepsiCo)

[@ThePlainBagel]

Very good point! The cash flow statement is certainly not immune to management's influence, thanks for highlighting!

[@tiagolimp]

@@ThePlainBagel So how can we know if it's being manipulated or not? And is there any other way more reliable to assess how healthy the company is? Thanks in advance =)

[@_Wai_Wai_]

@@tiagolimp yea, so basically, the insiders always have a way to trick and mislead outside investors.

[@jpcorp2274]

That is no entirely true since you have auditors who look into bank statements. Cash flow is harder to make up since cash really are Bank deposits being exchanged and each account is assigned a number. Not to say that is not possible to do it, but it is much harder, it would need banks to be on the side of the firm and play along their game

[@jpcorp2274]

@Tim E. well Enron was always burning through cash, never made FCF.

[@davidschroeder3580]

I have ALWAYS struggled understanding this with other presentations and through my readings of this and it FINALLY just clicked ! Great video, thanks so much!

[@teresaconners1143]

This video was very well done. It really simplifies the information about the cash flows and makes it much easier to understand. Thank you for taking the time to do this!

[@kelvinwang1002]

I literally just finished the CF chapter in CFA1 just a few weeks ago. Bless your soul, Richard

[@williamsitompul7858]

Thank you Richard. It opened up my mind today. So grateful to be able learn what a cash flow is and how it really means to a company how important it is to a company.

[@89Anyzen]

This channel deserves 1M+ subscribers. Top quality content presented in a very simple way. Keep it up!

[@martinezcolonh]

Finally an easy to understand video of cash flow, much better explanation than other business channels.

[@oldschoolguy80s]

I have been watching your videos for a while now. Thanks for spending your time to make these very educative videos. What a great job analyzing the cash flows! I have already subscribed to your channel. Wish you success.

[@pineapple21723]

I learned a lot within 10 minutes here than listening to my prof for an hour in zoom. Thanks A Lot Plain Bagel CEO!

[@stevengudewich6873]

What a great explanation of a firm's cash flow statement. I really appreciate your videos and insight, your channel is awesome!

[@kevinkang4427]

1) Cash from Operating Activities 2) Cash from Investing Activities 3) Cash from Financing Activities

[@arthurkorir7846]

F.I.O.

[@tapaspanigrahi3331]

😐😐😐OK..... U summarize

[@ahsanmohammed1]

Thanks. I had just started watching for a second time. As I lost track.

[@user-cj9iq5xo3z]

It was wonderfully explained and cleared my doubts. Thank you from India.

[@RamTalks]

Plain and clear, Richard. Thank you :P

[@andreimircea2254]

Best Video Ever ! Now because of It I know the “secret formula” of a good stock/dividend/bond/etc. market !! I cannot thank you enough Plain Bagel. Keep up with your amazing hard work.

[@samssalman]

suggestion: very useful content, thank you very much. clear and simple. if i may add a recommendation, as a ux researcher, i would recommend doing the following simple change; If you want to discuss 3 elements, cash flow components for example. i would recommend displaying the 3 even when you are discussing one of them. display the 3 each time and highlight the one you will foucs on. this makes for an easier understanding and less cognitive workload. makes is easier for people to remember the 3 (recognition is better than recall). sorry if this is not very clear (sorry, writing this laying down with a significant leg pain) . feel free to reach if you would like more information.

[@ashi333y]

I love the simple way you explained it in!! Thank you for making it so easy

[@scottwong426]

One of my favorite KZbin channel. Very knowledgeable , very artuculate. This is one person that I truly undersrand

[@Kisembobusiness]

This deserves a tripple thumbs up!!! Thank you!

[@LessonUpwithUmair]

Income Statement can be manipulated using accounting principles for maybe tax purposes or others. It should always be read with cash flow statement when evaluating it. Would have loved to see you bifurcating free cash flows for firm and equity as well but overall very informative and great video 👍🏻

[@smitasarkar8351]

Loved the way cash flow statement is explained... one of the best videos on cash flow statement

[@Fepers24]

I love your simple and fluid explanation, I'm from Argentina so I have to translate a lot of things to compare them to our financial system (I'm learning fee english business course too lol) and it's awesome!

[@ruler6911]

How you doing

[@andyc9902]

All the best.

[@ceric8288]

Almost 100% accurate auto-generated captions in this speech rate...liked & subscribed.

[@rachelmunyi9727]

Wow thank you for this illustration, very comprehensive but concise. I am going to watch it again :)

[@feynstein1004]

Simple, lucid and clearly presented. Liked :)

[@hussjami]

a rare, nice and brief explanation of cash flows, thank you. i would like to have such a video on "published accounts and its importance in a business", likewise i would love if plain bagel posts some good videos on "strategic management" comprising these topics specially, "strategic analysis, choice and implementation". thanks again

[@Renxvx]

My teacher talking for 4 hours straight can't compare to the Plain Bagel.... Thank you for the video!

[@ednaflores1769]

How is all this so easy for some people? I'm having the hardest time in my accounting class. Thank you for your clear explanation of cash flows.

[@Go4Yourz]

This was great! Always nice to go over the basics!! 👍🏾

[@Fifty50.]

first vid i've seen by you, definitely going to check out some more, thanks for the informative content

[@lifeforgod07]

Wow man what a great video. I agree, I put most my emphasis on a company's cash flow statement.

[@kimberlym8392]

This is the explanation that I needed!!!! Seriously, thank you!

[@elnovato1741]

I saw your video - & @ 3.23 - I scrolled upwards & hit the like button. Nice work. Well done. Hope to see more & more content from your channel. 👍👍

[@marcelangir7534]

I love the Plain Bagel's simplicity in explaining complicated things. Keep up the good work pals... But one thing, Whts VE in the CFF ?

[@MattCobra55]

Planning to study economics next year. I hope I can use your videos to help!

[@yardmasterswealtheducation8424]

A most excellent overview indeed! Thanks for Posting!

[@frankoberly548]

If you need an entry level cash flow video this is the best video to watch!

[@cafenes176]

Lovely Explanatory video on a complex CFS topic.

[@andrescalvo4386]

Liked, subscribed and this comment to tell how much I appreciate your videos. Thanks ma bagel!

[@valblooms2577]

youve completely change the way i think about finances' great work

[@petergriffin9902]

Nice. You got sponsored! Hehehehehe.

[@muhammadosama1994]

Mma world??

[@ricardoborba3378]

Richard, please also make a video explaining Income Statement and Balance Sheet. Keep up the good work! Thanks

[@jason-anthonygaskin7867]

Fantastic video! If I were a little younger this would have been a godsend in my finance classes

[@AndyBankside]

Best explanation I've seen. Thank you!

[@matgame2]

I've been debating with myself whether to use FCFE or FCF, this cleared it up. Thanks a lot!

[@ThePlainBagel]

FCFE if you’re valuing the stock, FCF if you’re valuing the enterprise! As a shareholder you only care about the FCF after it’s paid off debts (so FCFE) because you don’t get the debt money

[@nscshimla]

Great video ! Complex topic explained with much ease for the viewers.

[@savage__sam]

You do an amazing job at explaining this stuff. Ty!

[@khadijasellami2153]

Thank you infinitely. This has been really helpful!

[@AveryBlueRemix]

You empower me dude, love The Plain Bagel!

[@picklestirfry]

Wallmine looks cool, however one thing to be cautious about is the short time frame for the fundamental data, as it goes back 3-4 years max. However, the non-long term data looks pretty neat.

[@Philosopherjonathanmorel]

your videos are amazing don't stop making them

[@ahsanmohammed1]

Thank you. Info Good info. Simple. Easy to understand. Excellent graphics. CFO When you mentioned suddenly CFO, I was confused. Had to pause video and Google it. Would’ve been nice if a pop up showed, CFO, Cash from Operating Expenses. Sound Music unnecessary. Use best in market audio system. Again. Thank you. Appreciate the info and insights.

[@lloyddinma]

Richard! Thanks for this break down.

[@sachacadieux8134]

Absolutely amazing video and explanation! Thanks Plain Bagel :D

[@yashpatil953]

Thanks for such a clear and simple Explanation Keep making :)

[@RameshP-ds4xt]

Thanks for the explaination.. Very usefull !!!

[@jackcullen69]

Good stuff. Liked, subscribed, and on notifications

[@jottafmanuel5686]

Thanks, this was very helpful (From Angola)

[@lorenzosadino6011]

could not be more clear! great video.

[@azharperwaiz9673]

Very simple and informative Thx

[@liamorigami]

Such a great video! Thank you for the help

[@nat.serrano]

Great video sir. I even downloaded it

[@LearnWithMike]

Great short and sweet explanation - CASH IS THE KING!

[@TheSpatulaCity]

Great explanation and useful sponsor. I will definitely check it out.

[@femiomojolowo6380]

This is wonderful to say the least Great work

[@noelmaskii25]

God bless you for putting it in such simple words. 👍👍

[@kasmawatiahmad7878]

Thank you so much. This helps me a lot

[@lazykid9167]

supreme explenation and presentation . thank you very much

[@djben928]

Thank you for the very clear explanation.

[@acholouscognoscente]

Needed this video. Thanks

[@JavsGarage]

Nice work 👌

[@mirzarakovac2541]

Really well explained. Thank you!

[@lwjunior2]

This was brilliant. Great job!

[@Rey-sb6li]

Hi! I just noticed a problem with your example in the end video. The net income (net change in cash) of each company should be $ 1 million, instead of $ 10 million. Right? By the way, your videos are amazing as always (animation is improving too!) :)

[@What_was_wrong_w_jst_our_names]

Ya know, I do like what your doing here. I think I will take that up sell and subscribe.

[@lulxd4438]

I appreciate you brother Richard, all love my G

[@user-jd6rn1ks5n]

This was very helpful

[@ujjwalverma2007]

Perfectly explained. Thanks a lot!

[@westsideworldwide101]

Fantastic video - clear explanation

[@redstone9670]

Very well explained love it

[@ivanronny01]

Great explaination. Cheers

[@marvelgaming1570]

Fairly explained, well done !

[@pedrodiasesquerdo48]

This video was awesome, thank you!

[@bookman2116]

thanks bro. love it!!!!

[@torontoBluejays87]

You are doing an amazing service for all the brain dead newbies who should have started earlier. Thank you for all the hard work you do to create this channel.

[@vkollur]

Great explanation, thanks!

[@owaisk6809]

Thanks. This is helpful

[@germanl.2219]

Awesome vid!! Great explanation

[@carmellejean-paul4334]

Very informative!! Thank you!

[@thomasl.2202]

Well done finally I can understand more from you. Easy to understand and fast. Great teacher mate! Hope you do more videos like this

[@GabeInvestorFounder]

Excellent...simple and effective

[@Mrafiqazizi]

Good explanation. Keep ur work Love it. From Malaysia 👌👍

[@StylianosGreg]

Wallmine looks really good, nice and neat screener.

[@1974xaviers]

Good video and very well explained....😊

[@atty.monlacambra1917]

Thanks. Keep making informative vlogs. 😊

[@GeorgiTsenov]

Awesome! Extremely valuable video!

[@itsevany639]

Thank you so much!

[@pamelamason4011]

Thank you!

[@MetaMM]

Thank you.