Price to Cash Flow Growth

The ** Price to Cash Flow Growth Ratio**, or P / CFG Ratio, is a Cash Flow oriented valuation measure that takes into account the growth rate of a firm. It is the Share Price divided by the Cash Flow per Share divided by the Cash Flow growth rate. This is measured on a TTM basis and uses diluted shares outstanding.

Stockopedia explains P / CF Growth

Price to Cash Flow Growth is similar to the PEG Ratio but is focused on Cash Flow, rather than Earnings, growth.

It divides the market value by the Operating Cash Flow and then by the Cash Flow growth rate.

This may be preferable as Operating Cash Flow is less volatile and harder to fake than earnings, although EV to Free Cash Flow Growth is likely to be better since enterprise value penalises debt and rewards cash.

This is measured on a TTM basis and uses diluted shares outstanding.

Ranks: Low to HighAvailable in screenerAvailable as Table Column

The 5 highest P / CF Growth Stocks in the Market

TickerNameP / CF GrowthStockRank™
LON:SDVChelverton UK Dividend Trust-365.40
LON:MYIMurray International Trust-151.20
LON:WTANWitan Investment Trust-61.40
LON:TAMTatton Asset Management-49.474
LON:ATRSchroder Asian Total Return Investment-47.90