[kamaal]

Im not able to see the context here.

How is it a con?

[rwmj]

It's known colloquially as "Earnings before bad stuff" because you can use it to hide all the stuff in your accounts that doesn't make you look good. It's not a con, more like obfuscation.

[refurb]

It's one of many metrics that you can use to evaluate a business.

Note that's it's not "bad stuff", it's interest, taxes, depreciation and amortization.

I'm not sure anyone consider depreciation bad?

It's a metric that strips away things that can distort net income. It allows one to see what the core business produces.

[dspillett]

> It's not a con, more like obfuscation.

Which is a very subtle and complex distinction, like the difference between tax evasion and tax avoidance.

[ggm]

Feather? Legal. Whole bloody chicken? Pornography.

[dspillett]

Nah, the feather is erotic, the chicken is kinky. Both legal by my understanding. Unless the chicken is live.

[indymike]

It's not if you use it to understand cash flow. If you use it as a profit replacement, you might be disappointed.

[blitzar]

https://brk-b.com/why-charlie-munger-despised-ebitda_240201....