Definition

Access, learn & discover the A-Z's of learning with Sivastatz

F

Free cash flow

Free Cash flow: Free cash flow is the cash generated by a business after paying for its operating expenses and capital expenditures. It provides insights into a company's financials, helping investors make better decisions. Free cash flow is an essential metric because it shows the efficiency of a company in generating cash. It also helps in understanding if a company might have enough cash for dividends or share buybacks.