What is FREE CASH FLOW? And Why is it IMPORTANT?

[@stormzyaoe581]

The problem is no other youtubers will talk about this because it wont get the views, even though it's far more important than tesla being worth 30 trillion in 4 months. I have completely changed how I invest thanks to you guys, I wasn't investing bad but you have helped make me better, thank you

[@EverythingMoney]

Thanks for sharing , we are just trying to open minds to have another perspective , love -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@Raydude2301]

True

[@augustus331]

Same here. Everything money, Sven Carlin, Jimmy Coppell, Moore Money, Plain Bagel. Absolutely gold that these are available for free on youtube.

[@brunoluiel2426]

I'm Brazilian, and I don't have words to appreciate that wonderful class about a lot of things. In my case, I was searching for analyses of Cash Flow and Free Cash Flow, and in the end, I gained a whole class about investments. Thank you so much!

[@RJSLIVEE]

channel definitely underrated. guy at the board knows his stuff

[@Botbotbot]

I’ve legit been having trouble grasping cash flow for weeks now... this just helped so much.

[@jasonmazzy]

These classics are gold; love to watch them. See you on the app and Facebook.

[@jasonx1767]

Im 47.i just started investing 3 years ago.never too late. Love the channel guys.ive learned so much.

[@jackturner1446]

Paul teaching and Seth asking the questions that I would ask is the perfect combination to teach these investing lessons. Its also super entertaining when Seth and Paul tease each other. I pay for the 2nd tier and its completely worth it.

[@EverythingMoney]

Thanks for being a patreon , we love you -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@brianshea5333]

Gotta tell you Seth - I really respect your shirt game

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@andred.4664]

Great explanation!!! Respect from Brazil!🇧🇷

[@EverythingMoney]

Obrigado , love -AP

[@heitorlima1968]

Brasileiro tá em todo lugar hahaha

[@alexfosterroman]

Thanks for the informative videos. Don’t you think it would be wise to incorporate some intangible metrics as well? Sector growth, management team, product pipeline, tam?

[@EverythingMoney]

Great suggestion! Love -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@miguelangelruizcruz5002]

Some months ago I didn’t understand what fcf had to do with the price But some time ago you helped me realize that if I buy at 20 times FCF and the company keeps growing then in the future the market is going automatically raise the price to justify the new FCF

[@EverythingMoney]

Thanks for taking the time to learn more and be with us , love -AP

[@phildurre9492]

would love to see your analysis on tencent from a fundamental point of view it came down nicely

[@EverythingMoney]

Noted! Thanks for the comment , love -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@spencerhagerstrand3257]

@@walkerstinson3634 he hasn’t out preformed the market?

[@walkerstinson3634]

@@spencerhagerstrand3257 Correct. He's mentioned this more than once in his videos.

[@spencerhagerstrand3257]

@@walkerstinson3634 thanks for letting me know. I always thought this dude was dogshit at investing!

[@ericgreynolds8461]

Learn so much on this channel. I'm in the middle tier patreon now, but I'm about to get in with Moe's tier here soon once I understand this sht a little better. Keep up the great work guys!

[@EverythingMoney]

Welcome aboard! That tier is awesome you wont regret it , theres so much help in between the guys and Mo. Love AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@ericgreynolds8461]

@@walkerstinson3634 it's turned my portfolio around. I can only speak for myself. I will say he is setup alot better than most when a pullback does come

[@ericgreynolds8461]

@@walkerstinson3634 replied before I realized you're a pos bot

[@marcusmin7282]

this video is sick. guy explaining is a wizard.

[@Levi-zy5ju]

You guys are so helpful, thank you for the content. Will be looking into your patrion

[@restless42]

Love these videos. After the pillars are done, we could maybe even go a bit into the sections of the financials we usually don't look at so much (? 😁)

[@mangio8479]

Great Explanation of FCF! Could you perhaps open up on the use of FCF in the banking industry, and do you plan on discussing the use of owner earnings for measuring intrinsic value as opposed to FCF in a future video?

[@EverythingMoney]

We do not dabble in banking , the guys tried talking to a Bank Manager if i recall , and they didn't have much success ,as this person didn't know even how to explain it .As of your second question , we will look into it , thanks , love -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@garochaarte]

great youtube channel !!!!! i am learning a lot

[@harikrishnanchandramohan4209]

@Everything money. Wouldn't the free cash flow be exposed to inflation. Wouldn't it be better to re-invest the cash flow back into the business for growth or expansion?

[@THEchrisse95]

I personally also like to look at the ICF doing my analysis as it gives other insights comparing companies

[@domg2624]

Love it, these breakdowns are great!

[@EverythingMoney]

Thanks for the love -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@TheMuscleDocMethod]

Great video thank you. You have a new faithful follower.

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@sanju200100]

If company is growing and they have a NEGLIGIBLE FCF, however they have a solid Operating Cash Flow. Now we know as the company grows they wil spend less on growth as they have more Market Cap, should we take into consideration operating cash flow and pay a multiple of 20 of OCC?

[@sambeckingsale2542]

Do you ever suggest to buy a stock ?

[@EverythingMoney]

We are not here to tell you buy this or that , we are here to teach you a way of doing your DD, reading your 10K , so that you can make your own assumptions , if you want to see their portfolios , its in their patreon . Ill leave you the link if you are intrested in taking a look , love -AP www.patreon.com/everythingmoney

[@sambeckingsale2542]

@@EverythingMoney cheers.

[@Daniel.Eriksson]

Awesome video as always!

[@EverythingMoney]

Glad you enjoyed! Love -AP

[@Chris-vx6eb]

Question for Paul...There are some who like to add Net Borrowings (issuance/repayment of debt) to the typical FCF (OpCF-CapEx) figure - so that FCF=OpCF-CapEx+Net Borrowings. It can have a dramatic impact on that figure and can tell you whether a company had positive cash flow because of increased sales, or if it was only positive because they borrowed a ton of money. I'd be really interested in hearing what he thinks or if I'm just misunderstanding it. I'm looking at Nelnet(NNI) right now and it is throwing me off.

[@KingDingeling590]

Is Free Cash Flow Yield a good messurement number? And if so, what is a good value to Look for? Above 3, above 5? Thx

[@user-tx4yn6fv9t]

ideas for your next videos: Couche-tard (ATD.b) , Nexstar Media (NXST). Great job guys

[@EverythingMoney]

Noted! Love -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@valdezyoutube9213]

Great video bro !

[@EverythingMoney]

Glad you liked it! Love -AP

[@bau4daman]

Do you also take into account book value when determining price to pay? Should the price I'm willing to pay be the book value plus the present value of future cash flow?

[@reespaul27]

Any chance you guys can do a pro and cons of dollar cost average Vs lump sum investing. I'm currently only able to invest £200 per month and fear I could be missing gains by lump investing. Would love to know your thoughts

[@EverythingMoney]

You could be missing gains , you could also avoid looses , now it all depends what you want to do , do you want to be aggressive or conservative ?

[@TheJoaninhaMendes]

Uncle Paul rocking a Rolex Beer Root :) Good taste!

[@EverythingMoney]

Good catch!

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@TheJoaninhaMendes]

@@walkerstinson3634 and what those new metrics would be? If you make a video about them I would gladly watch. I am happy to see as many points of views as possible.

[@keith228]

Hey guys I’m going over Enbridge Financials and can’t help but notice that their FCF on a yearly basis is lower than the Stock Dividends Paid. How are they able to steadily increase their dividend yield with less and less FCF?

[@davidandronicomusic]

thanks you for all the knowledge boys!

[@EverythingMoney]

Thanks for coming back for more -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@gowzican1859]

Good video as usual

[@EverythingMoney]

Thanks for the love -AP

[@zakharyrashid9040]

Any idea on when the app will be coming out?

[@EverythingMoney]

We don't want to give a date yet , and then we cant deliver , when we are ready it will be said , love -AP

[@ayanahmed5114]

can you teach us options particularly selling puts and buying calls

[@rhot2012]

They did one two months ago. Search for Everything Money Options.

[@EverythingMoney]

Hi ,Ayan , here you have to links that will take you to options ,love -AP kzbin.info/www/bejne/o6PJhKqhd61_ipo kzbin.info/www/bejne/jni0h3mwmtikjaM

[@keaton662]

Mannn i love y’all channel, and Im loving the software and I been unsubscribing from so many people since I started watching you all

[@EverythingMoney]

Thanks for the love , and sharing that , love- AP

[@Pstr1315]

I suggest the popular investor also

[@nunyaabizz1153]

The look at it 😂😂 thanks guys another great video!

[@EverythingMoney]

Glad you enjoyed it! Love -AP

[@thatpointinlife]

What do you guys think about TMF Stock Advisor?

[@EverythingMoney]

I prefer to do my own DD and ask the patreon or my friends for opinions , just to make shure that what am seen is right, love -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@zackfri7149]

Pls make a vid about Biogen and the upcoming Aducanamab FDA decision🙏🏻

[@EverythingMoney]

Thanks for the suggestion .Last time i heard about that drug was on November that it was not approved by FDA. do you have any news ? Love -AP

[@zackfri7149]

@@EverythingMoney June 7th is the official date that the FDA will be deciding. Bought BIIB cus of u guys! Amazing content and amazing role models for young investors like myself🔥

[@abdonperalta5376]

@@zackfri7149 just make shure there is more than just this drug ,whats in the pipeline, look at their 10k .

[@gangxing1912]

good explain

[@EverythingMoney]

Glad you think so! Love Ap

[@zyntaxerror007]

Why not use a price to (5 year trailing) cash flow ratio instead of price to earnings? To me that may give a clearer indication of the return !! Thoughts gentlemen?

[@zyntaxerror007]

EVĒRYTHIÑG MÕNĒY Nice Try.

[@jimd1617]

thank you!!

[@EverythingMoney]

You are welcome - GC

[@MrErgea]

Guys, do you know the channel Investing with Dr. Dan? Amazing guy, great content.

[@EverythingMoney]

No , but we will check him out , thanks , love -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@MrErgea]

@@walkerstinson3634 You mean this time it´s different, right? :)

[@walkerstinson3634]

@@MrErgea That's what he thinks. I doubt it. If it hasn't work for the last 5, why would it work for the next 5? Foolish.

[@EverythingMoney]

Hahahahah!!! 5 year financial outlook. Please tell me you’re joking?????

[@cable_n]

y'all are great! thanks :)

[@EverythingMoney]

You are too ! Love -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@k4ir0s]

Great video. I like the chemistry between the two of you. One of you plays the newbie, the other the expert. Could you guys do a video on how to valuate an unprofitable company to see if its worth investing in? (Example: Spotify, or any company in the Arkk portfolio Lol). I always have the hardest time evaluating these sorts of companies, since you can't even figure out their PE Ratio since their unprofitable.

[@CP-qg4ks]

Value investors UNITE!!

[@EverythingMoney]

Hurrah! Love -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@pro71]

How come you use 20x FCF as an arbitrary number when trying to get some sort of fair value?

[@leestringer]

If this doesn't work out Seth, with that soothing voice, you might want to consider narrating children's books for Audible. I'm 45 and even I want you to read me a bedtime story. :)

[@agusbattocarol]

Keep on going!

[@dennismozart5134]

Could we say that if a company is negociating at idk... 5x free cash flow over the last 5 years, we get our money back into 5 years if things continues as it is today for the next 5 year (similarly to P/E Ratio)? I mean, even if they don't return me that on dividend, that cash on the company is also "mine somehow" even if the stock price doesn't go up(probably it will eventually, but even if it doesn't, at least I can pay a lower multiple on fcf on 5 years as well)

[@rensvaneck7913]

ASML stock analysis pls..😁

[@EverythingMoney]

Thanks we will look into it -AP

[@thomastoma6829]

Please more about foreign stocks!

[@EverythingMoney]

We will be adding in the near future foreign stocks to our software . And noted we will try to add , thanks , love -AP

[@PJTex93]

Class is in session, professor Paul is in the house.

[@devendrakumardave]

You are doing the best to the humanity in capitalism, thanks in ton

[@Raydude2301]

Quality content

[@bobbygeorge243]

I think the 8 pillars should be different per sector on the website.

[@EverythingMoney]

Thanks for the suggestion , love -AP

[@robertgrudain8826]

Great video

[@EverythingMoney]

Glad you enjoyed it -AP

[@RobFrank22]

MSFT doesn't have fcf positive to stock price, but it has more cash to debt on its book. This has me perplexed.

[@a.poulias4941]

Looking forward to checking out your videos - Mt Orab SC Y

[@EverythingMoney]

Thanks for coming! Love -AP

[@a.poulias4941]

@@EverythingMoney I expect Seth to produce one on my crypto-conspiracy theory we discussed earlier today haha.

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@stay_stoic_be_stoic]

Do Price to free cash next - please!

[@EverythingMoney]

Thanks for the suggestion , love -AP

[@tomeinarlit9326]

Good job again:)

[@EverythingMoney]

Thanks 😋 Love Ap

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@MrPushupp]

subscribed, i like it

[@evaristegalois8600]

The answer DCF and PEG

[@EverythingMoney]

Thanks for commenting ! Love -AP

[@zohcold]

I like this.

[@EverythingMoney]

And you make us happy that you like it , love -AP

[@focusrelax8838]

Do you have google or fb or apple? They have the best cash flow in the world ! Do you guys earn this 3 stocks?

[@EverythingMoney]

Its not only about the cash flow , but is it the in the right price to buy ? Love -AP

[@focusrelax8838]

@@EverythingMoney that’s a good question, I actually don’t know , trying to follow your 8 pillars, and it is really hard , so you also do TA , Fibonacci retracement etc ?

[@krishnapatel3877]

Free my homie cash

[@EverythingMoney]

Haha , love -AP

[@GiulianoHPM]

Ow yeah I like free cash flow :)

[@EverythingMoney]

I love to see it in my bank account ! Love -AP

[@jeremynewell9903]

Thank you for not being "popular". I'd rather you be right. 👍🏼

[@Cameron220]

Price to Free Cash Flow is important?

[@jannotionloc5008]

Luhvet ❤️

[@rsundlov3605]

Invest in an idea that give you return OFF (cashflow) capital, while you wait for return ON (market value) capital

[@EverythingMoney]

Love it -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@MrDgp86]

I don't like the new look of your app website. I liked the look in this video better.

[@EverythingMoney]

Thanks for sharing your opinion , love -AP

[@matthewhammond859]

Please consider not talking directly into the mic and use a pop filter. Speaking into the mic directly causes really bad audio.

[@EverythingMoney]

Thanks for sharing , love -AP

[@dso1986]

But analysts have consistently underestimated actual earnings for years

[@jason002YT]

Would you just look at it! lol. I know that meme video :D

[@taternater21]

Someone get Paul some bigger shirts

[@EverythingMoney]

Hahaha, love AP

[@Ryan-ro3ec]

Caught this one early

[@EverythingMoney]

Dayum , you beat Abdon ! Love -AP

[@abdonperalta5376]

👍🏻👍🏻

[@EverythingMoney]

You got second this time , love your thumbs up , love -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@Baldevthakur2725]

Sexy time for investors!

[@EverythingMoney]

Thanks for the love -AP

[@tiagosantos680]

Today I learned... that Blackberry still exists

[@July-ct7pp]

the market is a bubble people be smart if fundamentals don't make sense don't pay

[@ahikernamedgq]

Beardy Wes Chatham.

[@guy3117]

Learn to boycott.

[@EverythingMoney]

Ok , thanks -AP

[@tomaslysak5249]

This bearded doodle should be back. He is great opposite of Paul

[@ryangamble1720]

Do sleep number you guys will love it promise

[@EverythingMoney]

Thanks , we will add to the list ,love -AP

[@suziekillingback9954]

I swear your videos are getting funnier 😂❤️❤️❤️

[@no_lft_shft]

Paul's comedy coach is paying off 😂

[@EverythingMoney]

Thanks for the love -AP

[@walkerstinson3634]

Paul keeps saying he doesn't want to overpay for growth, yet he won't reconsider his metrics for evaluating it. Not all the metrics used decades ago apply today. You have to wonder why his portfolio the last 5 years hasn't even kept up with the market, let alone exceeded it.

[@datle5449]

great video

[@EverythingMoney]

Thanks you , please feel free to suggest, love -AP