Free cash flow to sales is a valuation ratio that measures a company's surplus cash flow against sales revenues. The ratio indicates how much of a company's revenue is transformed into cash.
FCF/Sales expressed as a percentage is often used to find 'cash cow' stocks. When screening the market it's good to look for FCF/Sales > 5% - that's often a sign of a high quality company. This ratio was covered in depth in Pat Dorsey's Morningstar books.
| Ticker | Name | FCF/ Sales % | StockRank™ |
|---|---|---|---|
| BOM:535204 | Mukta Agriculture | 32947053.13 | 6 |
| LON:SGZ | Scotgold Resources | 15581800 | 60 |
| BOM:512109 | Aviva Industries | 2364514.71 | 38 |
| TPE:1438 | Yu Foong International | 172623.53 | 39 |
| ASX:VAL | Valor Resources | 127860.55 | 38 |
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