The price to free cash flow ratio (P/FCF) is a way to compare how much the market values a company to how much free cash flow it generates. It is calculated by dividing the current market price of each share of the company by its free cash flow per share. The free cash flow per share is the amount of cash that the company has left after paying for its operating expenses and capital expenditures. The free cash flow per share is calculated by dividing the total free cash flow by the number of shares outstanding. The formula for the price to free cash flow ratio is:
Price to Free Cash Flow Ratio = Low Price per Share / TTM Free Cash Flow per Share
Where:
- Low Price per Share is R0119,
pr_low
- TTM Free Cash Flow per Share is TM014,
ttm_free_cash_flow_per_sh