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A comment on Warren Buffett Just Wrote His Best Annual Letter.

Re:Warren Buffett Just Wrote His Best Annual Letter by AndrewKemendo on Wednesday March 18, 2015 @08:56AM (#9225064)
Our definition of coverage is pre-tax earnings/interest, not EBITDA/interest, a commonly used measure we view as seriously flawed.

I would love to see a founder tell one of their investors this and watch their head explode.

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Re:Warren Buffett Just Wrote His Best Annual Letter by def_illiterate on Wednesday March 18, 2015 @11:56AM (#9226366)
Genuinely curious, wouldn't EBIT be a more conservative number than EBITDA? Not that it matters in tech, as I assume Depreciation and Amortization are almost nil.
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