3 ms·
Mind explaining what you mean by "passive cash flows" and why they became more expensive?
by rsp1984 6y ago
Mind explaining what you mean by "passive cash flows" and why they became more expensive?
- Spivak 6y agoMS didn’t become more valuable in a vacuum. It’s just with the pandemic hurting so many businesses the value of a stable mature company that’s still making money went up.
- take_a_breath 6y agoThe price/earnings ratio went up. You are paying more for each dollar of MS profit compared to last year (which was already a high P/E ratio). It’s another form of inflation.
- misja111 6y agoPassive cash is cash that is invested relatively risk free, such as in A status government bonds. 10Y treasury rate dropped by 1 percent point this year: https://ycharts.com/indicators/10_year_treasury_rate https://ycharts.com/indicators/10_year_treasury_rate