EBITDA can be manipulated easily... why would you announce your...

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TrentMac

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08/07/21

09:22

Post #: 54360216
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Originally posted by AgooLisa24: ↑

EBITDA is not a rubbish metric. It's just one you don't like.
I've known many an analyst who get their calls wrong. If actually say more than half are absolutely clueless. They have the analyst title but their job entails looking at data andaking predictions not on what will rise but on what wil maximise profits for the company such as Macquarie bank or any other like credit Suisse or blah blah blah.

A financial analyst really.doesnt hold you any latitude or grace as someone who knows something more than the other since so many analysts get it wrong and it's such a low level position in the company with next to zero authority. Ie analysts are not the ones investing the fund managers money... Like being a car loan officer then saying you know all about cars or all about the car loan market. You wouldn't. You'd know about people who took out car loans in your region, your role isn't aggregate it's very niche.
ive worked in tech for 15 years and worked for a number of SaaS companies that have also gone from pre IPOs to IPO... But that doesn't make me a know it all. As the tech market is so big and I was focused on selling tech.

A great example is how many analysts like Macquarie bank (that only take the really smart ones apparently ) is still calling Afterpay at 30 dollars and zip at a lower number... They have been wrong not just once but for years now... And they continue to hold this incorrect view as the market pushes their prices back up....
Being an analyst is almost a negative imho. The arrogance that comes with you means you walk around with blinkers on unable to appreciate or see anothersview and saying stupid shit like EBITDA is a terrible metric....
its one of the most talked about metrics in valuation and also transition from growth to value stocks.... Something most companies get to eventually. Even the tech stocks.

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EBITDA can be manipulated easily... why would you announce your earnings before your depreciation or amortization? The whole concept of EBITDA is stupid because the depreciation of a stupid acquisition will heavily effect real EBIT / NPAT.

Just because a company has a positive EBITDA doesn't mean it is a valuable company.

Watch some videos on it and under stand it before you claim its a valuable metric to evaluate a company off.

PYG Price at posting: 52.0¢ Sentiment: None Disclosure: Not Held
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