stock-based compensation
4 statements across 1 episodes · 0 bullish · 4 bearish · 2 people on the record · first statement Mar 21, 2024 by Brad Gerstner · across every show →
Everything said about stock-based compensation, oldest first
Mar 21, 2024 negative
Gerstner: Pro-forming out equity compensation leads to severe resource misallocation
“When you don't, when you proforma something out, right, when you stop treating it like cash, right, it leads to a misallocation of resources because you're effectively saying this doesn't exist, and when you know, what happens when the cost of something disapp…”
Mar 21, 2024 negative
Mar 21, 2024 bearish
Mylod: Sinking 35% of free cash flow into SBC destroys company value
“If you dilute free cash flow by 30 to 35% every single year for 20 years, guess what? Your dilution is 35%, you know. It's not a half of, it's not 50 basis points, it's not one percent, it's not two percent, it's literally, you know, a third of the company.”
Mar 21, 2024 negative
Mylod: Ignoring stock compensation caused 15 years of runaway tech pay
“And for a tech company, oftentimes stock-based compensation happens to be the single largest expense component of a tech company.
And yet somehow inexplicably, even though it's the largest single expense component of that company it is not considered to be eve…”