------------------------------------------------------------------------
Series : Ratio Analysis (22 th Post)
---------------------------------------------
Is the
company generating enough Free cash ?
This ratio
helps us to understand how much Free
cash (Cash remaining after deducting Expenditure),the company is generating
,The Free Cash Flow/Operating Cash flow measure the relationship between Free
cash & Operating Cash.
Free cash
flow is defined as Operating Cash Flow minus the capital expenditures,This free
cash is what a company use for expansion,acquisition,financial stability or to
use this funds when the markets are not doing good.
The Higher
the percentage of this Ratio the better the financial strength of the company.
Formula: FCF
/OCF Ratio=Free Cash Flow(Operating Cash Flow- Capital Expenditure) / Operating
Cash flow
Next Post on Ratio Analysis: Cash
Flow Indicator Ratios: Cash Flow Coverage Ratio
----------------------------------------------------------------------------------------------------------------------
In my quest for learning value investing I came across this interesting
article and thought would like to share this with the community
Comments / Improvements and
points worth considering are welcome
Google Feed burner is free & allows to
directly deliver any new post on this blog to your email .If you are
interested kindly enter your Email in the “Subscribe Via
Email” on the top left hand side of the navigation menu’s.
Related Articles
Well……I want to share some experiences here with you. Sorry to say that “Payday App” is not working. I am trading in binary niche for last 15 months and tried a lot of scams in the mean time in the hope of being helped a bit. Recently I have got a typical but really good effective software named My Cash Bot (Check it out here>> http://po.st/Mcashbot ). I can say from my experience that My Cash Bot Software is a best opportunity to do a successful trading business. If you are going to start a new trading business in binary domain or want to improve your business activity, you can take the help of this automatic software that indicates the signals by which you can get accurate decision regarding to your business. Just have a try here>>> MyCashBot
ReplyDeleteThis post s perfect to gather the information related to the trading indicators which are very necessary in trading.
ReplyDeleteBlogging is the new poetry. I find it wonderful and amazing in many ways.
ReplyDeleteReally appreciate this wonderful post that you have provided for us.Great site and a great topic as well i really get amazed to read this. Its really good. getfoureyes.com
ReplyDeleteHello, it's a great piece of content. Thank you for sharing this interesting blog post, and good work. Most TV owners are unaware that they can repair dead pixels on their televisions at home. Even better, if done correctly, you will not void your warranty and will save you a lot of time and frustration. We've put together a comprehensive guide on how to fix dead pixels on a TV screen.
ReplyDeleteThis article is a masterclass in brevity. It manages to deliver key insights and thought-provoking ideas in just a few paragraphs. Updating your webcam drivers can often fix compatibility or performance issues. Visit the manufacturer's website to download and install the latest drivers specific to your webcam model. Go through this article to know more about how to fix webcam problem.
ReplyDelete