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Re: WarrenWannaBe post# 16682

Wednesday, 05/04/2022 1:11:50 PM

Wednesday, May 04, 2022 1:11:50 PM

Post# of 21365
Yes, like Drugdoctor said, EBITDA is the common industry metric...because these companies get crushed with taxes. But keep in mind, when comparing EBITDA, that it is still not an apples-to-apples company comparison. You have to review how each company calculated their EBITDA amount. I have seen several companies adjust, and re-adjust, their EBITDA metrics just so they appear to be progressing QoQ. I, like most, am still learning on how to value these companies...I am definitely still a novice...but EBITDA is just one of the many metrics that I use when judging whether or not a company is worthy of my investment. It is probably also why I have very few (2) long term holds out of all of the companies in this industry.
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