It's virtually impossible to get anything to cash flow with a decent cash
on cash return here in CA.
Not exact matches
Here's some more color
on returning cash to shareholders from Butters» note: «Share repurchase programs have become a very popular way of
returning capital to shareholders over the years.
Here in Texas it's very easy to find 20 % +
cash -
on -
cash return properties.
The main investment thesis
here is you have a company that produces high
returns on capital with a long history of stable free
cash flow that trades at around 8 times FCF.
They write, «MSFT's closing price
on 7/12/10: $ 24.83, so assuming $ 2.40 / share of FY 2011 earnings (midpoint of analysts» estimates and our own), plus $ 4 share in
cash,
here are possible stock prices and
returns (plus there's a 2.1 % dividend): 10x multiple = $ 28 stock = 13 %
return.
Investors who keep
cash in these funds for long periods of time risk missing out
on more profitable rates of
return elsewhere, and the rates of interest that they earn
here will seldom outpace inflation.
In other words don't count
on that
cash being
returned to shareholders or even invested in passive investments (private or public equity) for the benefit of shareholders; A liquidation valuation really isn't of interest
here as Glassbridge is set to be an ongoing business and I can see an operating
cash bleed for 3 - 5 years depending
on how long it takes the company to attract enough AUM to cover operating (read staffing) costs.
Of course, the usual temptation
here is to rely primarily
on quantitative analysis — let the numbers do the talking — focusing
on the consistency & sustainability of strong free
cash flow (as a % of net income), high net margins, high
return on equity (though not dependent
on excessive debt), and good
return on assets (in excess of WACC).
Just would like to sum up with this question to your fellow editor about a curious number (pardon the pun): Under the «NO foreign transaction fee» Marriott Rewards Premier Visa section recommending it, it reads «Out of the three cards, this is the only one that's seriously worth considering for everyday use» despite it being «one of only two» cards listed side by side that have «annual fees» after the first year (with Barb's choice the second one that loves charging 2.5 % «foreign transaction fees» upfront / from the start
on all foreign transactions rebating «afterwards» as «reward points» statement all of them «except
on returns and
cash advances» where the fees remain); however this article shows «more than three cards» (though granted the Amazon.ca Visa is unavailable now for the new applicant plus the missing Mogo Visa is a prepaid one and whereas this year's (2017) new $ 149 annual fee HSBC Premier World Elite MC is exclusively for their premier clients only) so which «three cards» in that statement there would we talking about
here?
Just would like to sum up with this question to your fellow editor about a curious number (pardon the pun): Under the «NO foreign transaction fee» Marriott Rewards Premier Visa section recommending it, it reads «Out of the three cards, this is the only one that's seriously worth considering for everyday use» despite it being «one of only two» cards listed side by side that have «annual fees» after the first year (with Barb's choice the second one that loves charging 2.5 % «foreign transaction fees» upfront / from the start
on all foreign transactions rebating «afterwards» as «reward points» statement all of them «except
on returns and
cash advances» where the fees remain); however this article shows «more than three cards» (though granted the Amazon.ca Visa is unavailable now for the new applicant plus the missing Mogo Visa is a prepaid one and whereas this year's (2017) new $ 149 annual fee HSBC Premier World Elite MC is exclusively for their premier clients only) so which «three cards» in that statement there would we talking about
here?
Here, the
return that is attained
on the
cash value is set by the insurance company.
Here, however, the
cash value of the policy will have its
return based
on the performance of an underlying market index, such as the S&P 500.
Here, there is death benefit protection and monetary value — and the
return on the
cash value is related to the performance of an underlying market index.
So for the
cash -
on -
cash return, you want to use your annual net income, but unlike the cap rate you do want to include financing costs
here.
Here's another example: Let's say you have a property with a
cash -
on -
cash return of 8 %.
Here we take a closer look at
Cash on Cash Return.
Buy and hold can work to start but I think I'd rather have more passive
cash then wait years for rent to match or a
return on equity
here.
Same
here @Christopher Collins I would use
cash on cash return as well as dollar income per unit to evaluate whether to pursue a deal or not.