Learn how to evaluate free cash flow to gauge a company's financial health and recognize accounting tricks. Understand FCF's role in investment decisions today.

Price to free cash flow ratio compares a company's market cap to its free cash produced. To calculate P/FCF, divide market capitalization by free cash flow from cash flow statement. Low P/FCF suggests ...

Free cash flow yield measures a company's cash generation vs. its market value. A high yield relative to its peers indicates potential undervaluation and a buying opportunity. Consistently high yields ...

In valuing a stock, many investors simply look at earnings per share or, at the most, net income, and think they're done. I think that's a mistake. Investors, especially dividend investors, should pay ...

While some companies burn cash to fuel expansion, others struggle to turn spending into sustainable growth. A high cash burn ...

Achieving equilibrium between cash flow and inventory demands meticulous planning from business owners. The average wait for payment from clients has stretched to about 29 days. With that type of ...

You knew Tesla is expensive: It trades at 63 times trailing earnings. Did you know that its cash flow multiple is even more of an outlier, at 10 times the P/E? The metric in question is price divided ...

Do a little digging and you'll find that COWZ and QOWZ are very different. After years of languishing in obscurity, the strategy of investing in high free cash flow yield equities finally hit its ...

While strong cash flow is a key indicator of stability, it doesn’t always translate to superior returns. Some cash-heavy ...

During the shale boom a decade ago, midstream MLPs borrowed heavily to build new projects. Today, the sector is in harvest ...

Carnival Corp (CCL) reported strong free cash flow this morning for its Q3 ending Aug. 31. People love taking cruises more and more, and this can be seen in management's guidance. Based on analysts' ...