Price-To-Cash-Flow Ratio

A measure of the market's expectations of a firm's future financial health. It is calculated by dividing the price per share by cash flow per share.


This provides an indication of relative value, similar to the price-earnings ratio.



Operating Cash Flow: Better Than Net Income? - Differences between accrual accounting and cash flows show why net income is easier to manipulate.

Ratio Analysis Tutorial - If you don't know how to evaluate a company's present performance and its possible future performance, you need to learn how to analyze ratios.
Related Terms

Cash Flow

Cash Flow Per Share

Price-earnings ratio

Word Search:

Categories