Free Cash Flow Yield

Business, Legal & Accounting Glossary

Definition: Free Cash Flow Yield


Free Cash Flow Yield


Full Definition of Free Cash Flow Yield


An indicator of the return expected per share. It equals free cash flow per share divided by the current market price per share (or equivalently, the company’s overall cash flow divided by its market capitalization). This is similar to earnings yield, except it considers cash flow instead of earnings, and is used primarily by individuals who believe cash flow to be a more accurate indicator than earnings.


Cite Term


To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/free-cash-flow-yield/
Modern Language Association (MLA):
Free Cash Flow Yield. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
April 23, 2024 https://payrollheaven.com/define/free-cash-flow-yield/.
Chicago Manual of Style (CMS):
Free Cash Flow Yield. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/free-cash-flow-yield/ (accessed: April 23, 2024).
American Psychological Association (APA):
Free Cash Flow Yield. PayrollHeaven.com. Retrieved April 23, 2024
, from PayrollHeaven.com website: https://payrollheaven.com/define/free-cash-flow-yield/

Definition Sources


Definitions for Free Cash Flow Yield are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 20th November, 2021 | 0 Views.