Glossary › free cash flow
Trading glossary · fundamentals
free cash flow
The cash a company has left after paying for its running costs and new equipment.
The fuller meaning
Operating cash flow minus capital spending on equipment and buildings: the cash left over for debts, dividends and growth. A company can report a profit and still run short of cash, so free cash flow is a check on the quality of earnings.
free cash flow.
Related words
adoption · analyst estimate · balance sheet · Bank of Japan · beat · bond · book value · business cycle · cash flow · central bank