Sauce for the Goose

By |2014-09-09T16:03:58+00:00April 3rd, 2012|Global Market Update|

Sometimes life imitates art. And sometimes an economy imitates a company. I wrote yesterday how inventory spikes can show that something is up at a company—maybe customers aren’t so keen on a new product, or a new plant location isn’t working out so well. The same can be said about economies. And we’ve got a little hiccup in the latest GDP reports that might mean something. In the fourth quarter the economy grew at a satisfying real rate of 3%. Combine that with 2% [...]

Both Sides Now (Part 3)

By |2017-07-17T12:34:55+00:00April 2nd, 2012|Global Market Update|

How do financial statements work together? I’ve written before how you need to look at the all the statements in order to get a good picture of a company’s financial health. But how are these reports tied together? The common factor that ties together the balance sheet, the income statement, and the cash-flow summary is cash. Cash is the life-blood of a company. Without cash, companies go bankrupt. They may have the best product, processes, and people in the world, but if they can’t [...]