tag:blogger.com,1999:blog-1442425444467777379.post6636678394820680424..comments2024-03-28T12:27:12.161+08:00Comments on Rainbow on FI: Revisit: Making sense of Balance Sheet & CashflowRainbowhttp://www.blogger.com/profile/17762360552800572152noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-1442425444467777379.post-54563673934976978112019-11-03T20:25:45.443+08:002019-11-03T20:25:45.443+08:00Thanks!Thanks!patrolhttps://www.blogger.com/profile/05283759538323964953noreply@blogger.comtag:blogger.com,1999:blog-1442425444467777379.post-58835581102321328162019-11-03T00:21:16.173+08:002019-11-03T00:21:16.173+08:00Hi Patrol,
1. If a negative figure appears under ...Hi Patrol,<br /><br />1. If a negative figure appears under cashflow financing activities, you are right, it could be due to dividend payout. Read more https://www.investopedia.com/articles/investing/120613/cash-flow-statement-analyzing-cash-flow-financing-activities.asp<br /><br />2. ROE is dependent on Net Income. The money used for share buyback comes from the company's asset / surplus Rainbowhttps://www.blogger.com/profile/17762360552800572152noreply@blogger.comtag:blogger.com,1999:blog-1442425444467777379.post-66794948604137469762019-11-01T12:15:25.474+08:002019-11-01T12:15:25.474+08:00Hi,
I am a newbie and hope you can advise on the ...Hi, <br />I am a newbie and hope you can advise on the following:<br />1. Under cash flow, a negative number means using cash will provide value to shareholders. Could you elaborate a bit more? How will shareholder gain value? Through dividends?<br />2. How will stock buy back improve ROE? Wont the net income be lower as a result of buying back the shares albeit outstanding shares will be less? patrolhttps://www.blogger.com/profile/05283759538323964953noreply@blogger.comtag:blogger.com,1999:blog-1442425444467777379.post-45298292744164907332019-09-15T00:05:49.307+08:002019-09-15T00:05:49.307+08:00Hi Uncle8888,
"By definition, retained earni...Hi Uncle8888,<br /><br />"By definition, retained earnings are the cumulative net earnings or profits of a company after accounting for dividend payments. It is also called earnings surplus and represents the reserve money, which is available to the company management for reinvesting back into the business. When expressed as a percentage of total earnings, it is also called retention ratio Rainbowhttps://www.blogger.com/profile/17762360552800572152noreply@blogger.comtag:blogger.com,1999:blog-1442425444467777379.post-27400402326360139052019-09-13T07:01:39.352+08:002019-09-13T07:01:39.352+08:00Think deeper on retained earning and understand mo...Think deeper on retained earning and understand more. Seldom mentioned by investment writers.CreateWealth8888https://www.blogger.com/profile/04870750974362417154noreply@blogger.com