Not exact matches
It's still early, but Disney is
making the right moves to transition to
streaming while preserving ESPN
cash flows.
The key takeaways are: 1) without using a discounted
cash -
flow model, the PE ratio that should be applied to a company's earnings
stream can never be appropriately calculated, and by extension, 2) when investors assign an arbitrary price - to - earnings multiple to a company's earnings (based on historical trends or industry peers or the market multiple), they are essentially
making estimates for all of the drivers behind a discounted
cash -
flow model in one fell swoop (and sometimes hastily).
I thought hard about this and have determined that the strategy I will take now and going forward is to hedge by
making sure I develop
cash flow and alternative income
streams via businesses and projects.
Both types of securities deliver a
stream of
cash flows to investors; stocks generate free
cash flow from their operations and
make dividend payments, while bonds
make interest payments and / or return principal upon maturity.
I want to share with you a brief look back at the passed year focusing on my achievements in terms of passive income and I will also
make some projections regarding future
cash flow streams.
In other words, your income
stream will be highly variable, which creates a difference between your income (how much money you
make over time) and your
cash flow (when the money actually shows up).
With a steady revenue
stream — backed by more than 136.5 million subscribers to its wireless and other services — the firm produces abundant free
cash flow (the
cash profits generated after
making the capital expenditures necessary to maintain the business).
The actuarial present value (APV) is the expected value of the present value of a contingent
cash flow stream (i.e. a series of payments which may or may not be
made).