Equity Valuation
Free-Cash-Flow Yield
Definition
What is Free-Cash-Flow Yield?
Free cash flow divided by market capitalisation.
Example in practice
How This Looks in Practice
₦5 billion FCF on a ₦50 billion market value gives a 10% FCF yield.
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Related Terms
Equity Valuation
Earnings Per Share
Net income attributable to ordinary shareholders divided by weighted average ordinary shares.
Equity ValuationDiluted Earnings Per Share
Earnings per share assuming potentially dilutive securities convert into ordinary shares.
Equity ValuationBasic Earnings Per Share
Earnings per share calculated using actual weighted average ordinary shares outstanding.
Cash Flow AnalysisOperating Cash Flow
Cash generated or used by a company's core operations.