Companies generating consistent cash flows have a better chance of weathering downturns in the economy. However, investor sentiment can occasionally put these kinds of companies out of favor too. Mark F. Travis, portfolio manager of the Intrepid Capital Fund, invests in stocks and bonds of out-of-favor companies that remain steady
Small cap companies that generate average retuns on their capital may turn out to be good values as long as they are throwing off excess cash flows. Eric Cinnamond, portfolio manager of the Intrepid Small Cap Value Fund, utilizes the analysis of this free cash flow yield in his selection
