Lies My Income Statement Told Me

What’s the point of reading a company’s earnings report? Can’t AI do that job?

Patrick Badolato, PhD, CPA is an Associate Professor at The University of Texas at Austin, McCombs School of Business where he teaches accounting and financial statement analysis. Badolato joined Ricky Mulvey to discuss:
- How Walmart, Rent the Runway, and Peloton adjust earnings (and what it means for shareholders) 
- Why investors should follow a company’s operating income
- The pros and pitfalls of GAAP metrics
- A better way to count stock-based comp.

Companies Discussed: WMT, RENT, PTON

Host: Ricky Mulvey
Guest: Patrick Badolato
Engineer: Tim Sparks