Price/Cash Flow Average

Metadata

  • Id: average_price_to_cash_flow
  • Type: fundamentals
  • Subtype: ratios
  • Units: ratio
  • Decimal Points: 2
  • Currency Convertible: No
  • Tags: “P/CF average”, “price to cash flow average”, “price cash flow average”, “average cash flow multiple”, “average price per cash flow”

Description

The price to cash flow ratio (P/CF) is a way to compare how much the market values a company to how much cash flow it generates from its operations. It is calculated by dividing the current market price of each share of the company by its cash flow per share. The cash flow per share is the amount of cash that the company produces for each share of its stock. The cash flow per share is calculated by dividing the total cash flow from operations by the number of shares outstanding. The formula for the price to cash flow ratio is:
Price to Cash Flow Ratio = Average Price per Share / TTM Cash Flow per Share
Where: - Average Price per Share is R0136, pr_average - TTM Cash Flow per Share per Share is TM026, ttm_cash_flow_per_sh