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Ok, this one happened because they invested into AI hardware build out. Actual operating income grew 30%+ q/q.

> Actual operating income grew 30%+ q/q

OI isn’t more “actual” than EPS. I remember back when Yahoo traded for less than cash and liquids [1] because investors didn’t trust management not to blow it on stupid shit.

[1] https://www.nytimes.com/2015/12/10/business/dealbook/how-to-...

google still highly profitable, so operation income indicates how healthy is business, and eps/net income indicates how agressively they reinvesting.

Yes. But framing one as “actual” implies it conveys broad, ground truths better than the other metrics. It does not. The ground-truth metrics would be forward ROA and ROIC.

> The ground-truth metrics would be forward ROA and ROIC.

that's not ground truth in environment when landscape (AI) dramatically changes every quarter, and investments are uncertain bets with huge win potential.

Your ground truth metrics are: 1. How healthy core business: operating income. 2. How aggressively company reinvest: net - operating income.

That was already forecasted, but not that they were going so cash flow negative.

Its just interesting how wall street views ant and google as the same caliber companies, even google has way more stronger baseline and ant is way more under the water.

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