Master cash flow statement analysis with a step-by-step guide for Indian stock investors. Link CFO/OCF, capex and free cash flow to spot high-quality stocks.
$1 invested in Philips Morris would be worth $2.65 million currently.These are sin stocks of FMCG with inelastic demand, compounding consistently year on year. Would be happy if you check out my firstpost now👇https://rokdareport.substack.com/p/cigarettes-the-king-of-fmcg
Brillian breakdown on the OCF-to-PAT conversion check. The 70-80% threshold over 3-5 years is somthing I wish I knew earlier when I got burned by a stock showing "record profits" that never turned into actual cash. The cross-statement triangulation approach basically turns the three financials into a lie detector test, which is exactly what retail investors need in a market where promoters get creative with accounting. One question though: for companies in hyper-growth mode with genuinely expanding working capital needs, how do you differentiate between temporary cash drag and structural manipulation?
$1 invested in Philips Morris would be worth $2.65 million currently.These are sin stocks of FMCG with inelastic demand, compounding consistently year on year. Would be happy if you check out my firstpost now👇https://rokdareport.substack.com/p/cigarettes-the-king-of-fmcg
Awesome . Keep up the good work
Thanks! Glad that you liked it Neural Foundry
Working Capital Cycle = Inventory Days + Receivable Days - Payable Days
In hyper-growth mode with genuinely expanding working capital needs check that receivable days is stable
Brillian breakdown on the OCF-to-PAT conversion check. The 70-80% threshold over 3-5 years is somthing I wish I knew earlier when I got burned by a stock showing "record profits" that never turned into actual cash. The cross-statement triangulation approach basically turns the three financials into a lie detector test, which is exactly what retail investors need in a market where promoters get creative with accounting. One question though: for companies in hyper-growth mode with genuinely expanding working capital needs, how do you differentiate between temporary cash drag and structural manipulation?