Why EBITDA Lies: Real Business Valuation
Manage episode 483414577 series 3649266
š° Is EBITDA giving you the full pictureāor hiding the financial truth?
In this no-fluff episode of VPOD.ai, we dive deep into the most misunderstood metric in finance: EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization).
š Often marketed as a cleaner view of profitability, EBITDA is loved by executives and leveraged in M&A dealsābut also slammed by Warren Buffett and Charlie Munger as potentially deceptive.
š§ What youāll learn:
- What EBITDA really means and how itās calculated
- Why investors and analysts use itāand the hidden dangers behind it
- Real-world examples of how EBITDA can mislead
- When itās useful (like in bank lending or buyouts)
- Smarter metrics to watch: Free Cash Flow, Net Income, and more
- How to spot āadjusted earningsā red flags in company reports
š§ Whether you're investing, analyzing a deal, or just trying to decode a balance sheetāthis episode arms you with critical financial insight.
š¢ Sponsored by StoneFly ā enterprise-grade storage, backup, disaster recovery, and cloud infrastructure you can trust.
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