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Simba: "Will analysts on Disney’s earnings call focus on the stock trading at 22X expected earnings, its highest forward earnings valuation since 2004?"
Mufasa: "I’d say, ‘I think you’re on the wrong earnings call.’ It's about wealth creation and levered cash-flow growth."
Mufasa: "I’d say, ‘I think you’re on the wrong earnings call.’ It's about wealth creation and levered cash-flow growth."
Simba: "Will analysts write about 'channel checks' after the call?"
Mufasa: "Who cares? First DIsney makes sure they have enough juice to survive and don’t have credit issues in the near term that may bite them like a hungry hyena.
Deferred taxes make a model sing like Nala."
Mufasa: "Who cares? First DIsney makes sure they have enough juice to survive and don’t have credit issues in the near term that may bite them like a hungry hyena.
Deferred taxes make a model sing like Nala."
Simba: "What about margins?"
Mufasa: "What matters always is dollar margins: the actual dollar amount. Companies are valued not on their percentage margins, but on how many dollars they actually make, and a multiple of that. Maximize absolute dollar free cash flow per share!"
Mufasa: "What matters always is dollar margins: the actual dollar amount. Companies are valued not on their percentage margins, but on how many dollars they actually make, and a multiple of that. Maximize absolute dollar free cash flow per share!"
