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CaptWhizbang

04/24/15 8:10 PM

#22554 RE: thehondomeister #22553

That's right, The Hondomeister! EBITDA will come first, and then there will likely be green quarters before profit becomes sustained.

Since the distortionary accounting and financing effects on company earnings do not factor into EBITDA, it is a good way of comparing companies within and across industries. This measure is also of interest to a company's creditors, since EBITDA is essentially the income that a company has free for interest payments
http://www.investorwords.com/1632/EBITDA.html

EBITDA is a significant financial signal to the market and the street, and great for CPST and its share holders.


hillzman

04/24/15 8:23 PM

#22555 RE: thehondomeister #22553

Yes it is! All we need to see is for CPST to hit break-even once, and the game changes. They've leaned down their overhead and increased margins. Their cash position at this point appears solid. Lots of progress and CPST isn't at present being rewarded for it. IMO it will happen.

hopester

04/24/15 9:34 PM

#22558 RE: thehondomeister #22553

thehondomeister- Fair enough. But in order to reverse the long downtrend, investors and existing shareholders need to believe that a "sustained" period of profitability has begun.
So while a penny or two in one quarter may result in a brief move higher, it will be short lived if not perceived to be followed by another and be continuous.
Allot of confidence has been shattered by the poor performance over past years and much healing needs to be done to restore it.

In my thinking, the worst is close to over, but the best is a distance away and will take time.
Ergo, when Jameison says 2 years, I believe him.