4 ms·

Thanks, I think this is convincing (where most of the arguments in TFA, especially the Buffett quote) were pure equivocation. As an outside investor, if a comp

Thanks, I think this is convincing (where most of the arguments in TFA, especially the Buffett quote) were pure equivocation. As an outside investor, if a company is not profitable accounting for stock compensation then the book value of your stake (or your share of the NPV of future profits, or whatever) is going down.

otoburb 6y ago
>>[...] especially the Buffett quote [...] were pure equivocation I interpreted TFA to cast the Buffet quote in a positive light, and not as an equivocation. >>As an outside investor, if a company is not profitable accounting for stock compensation then the book value of your stake (or your share of the NPV of future profits, or whatever) is going down. Sounds like you, Buffet and the FASB are completely aligned on this point -- all the more reason to use/weight the GAAP numbers more heavily than the non-GAAPs and adjust our decision models appropriately.
- repsilat 6y ago
  Right -- I thought TFA's conclusion was correct, but the argument was unconvincing.