Anthony Scilipoti

Well, that's the fundamentals.

And someone else says, you know, that they're looking at the RSI or some other things, or someone else says they're just looking at cash flow, or someone's looking at the multiple related to earnings.

And those are the fundamentals.

Well, you know, historically, and if we follow what Buffett says, the company is the present value of its future cash flows.

And how do you develop those cash flows?

Well, you need to do a forecast on what it's going to drive the business.

And so that's what I think the fundamentals are.

And so when a company today is not generating much in free cash, impact negative, and yet the market wants to trade it at a multiple of its revenues, well, then the company's valuations is extracted from its current fundamentals and trading based on some future expectations.

I've been asked, you know, if you could have anything, what would it be?

And I'd say tomorrow's newspaper, because then I'd know what was going to happen and I would be able to invest on that.

And so we're all trying to do the most, the impossible, figure out what's going to happen tomorrow.

And all I know is I've seen that when you read and speak to investors and they say that the numbers don't matter and the financial statements no longer matter because this is changing the world.

I say, well, I've seen this before.

You know, I saw that Nortel was changing the world and Lucent and Cisco and 360 networks.

They were building out the infrastructure of the Internet that we're using today.

Right.

But those companies don't exist anymore.

They built what they built and that still exists.

But they no longer exist.

Either bankrupt or folded into other companies.