Growing cash piles on flat revenues and operating cash flows indicate firms are increasingly sitting on the Benjamins they generate.
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"Wall Street security analysts think dollar-to-dollar royalty cash flows are more valuable than restaurant operating cash flows, " says Kevin T.
Either way, you should steer clear of companies that report both profits and negative operating cash flows period after period.
If operating cash flows continue to drop as sharply as they did in the fourth quarter, Groupon may need to tap the public markets for equity.
Big pharma has less cash for deals because the patent cliff and pricing pressures have hit operating cash flows and spending on earlier deals, stock repurchases and dividends.
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Creating value for shareholders remains a top priority, and in the first half of fiscal 2013, we returned over 95% of operating cash flows through share redemptions and dividends.
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Of the 90 publicly listed Chinese property developers listed on the Shanghai and Shenzhen stock exchanges, almost two-thirds of them reported negative operating cash flows for the first half of 2010.
The change in net earnings and operating cash flows is primarily due to a 36% increase in the number of silver equivalent ounces sold, which was partially offset by a 24% decrease in the realized price per silver equivalent ounce, the company said in its quarterly statement Thursday.
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The value of an operating asset are the net present value of expected free cash flows discounted to infinity.
Private equity people are now looking to buy operating businesses and run them, and use the subsequent cash flows to buy other businesses.
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With EasyPaisa, merchants are trained, motivated by commissions, and carefully selected based on factors like whether they have cash flows suitable for the region they're operating in.
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