cash flow

The company’s cash generation metric isn’t only based on cash flow from operations, but is also augmented by inflows of debt and tax equity, Thakkar noted.

Focusing just on debt paints a very scary picture, Magouyrk said, but looking at the combination of new deals, projected revenue and cash flow presents a rosier one.

The Canadian telco’s C$3.9 billion free cash flow target by 2028 is also in line, which the analyst calls “respectable.”

Once the student debt is paid off, he can turn to his longer-term goals—splitting his extra cash flow between saving for retirement and buying a home.

“For long-lived assets…you compare the net carrying value of the assets to the undiscounted net cash flows the assets are expected to produce over their useful lives,” explained accounting expert Robert Willens.