A valuation metric that compares a company's market price to its level of annual operating cash flow. This is similar to the valuation measure of price-to-free cash flow but uses a looser measure of cash flow, by not deducting capital expenditures.
Operating cash flow, aka. "cash inflow from operating activities", is the amount of actual cash made by a company's business. It is similar to operating profit but without the accruals.
In general, the higher this measure, the more expensive the company. There are several advantages that the P/CF holds over other investment multiples - most notably the fact that, in contrast to earnings, sales or even book value, companies have a harder time manipulating cash flow.
| Ticker | Name | P/OCF | StockRank™ |
|---|---|---|---|
| NYQ:TME | Tencent Music Entertainment | 0 | 87 |
| OTC:DHCPQ | Ditech Holding | 0 | 64 |
| OTC:WLBAQ | Westmoreland Coal Co | 0 | 72 |
| OTC:WMLPQ | Westmoreland Resource Partners LP | 0 | 73 |
| OTC:VNRRQ | Vanguard Natural Resources Inc | 0.01 | 77 |
Let’s get you setup so you get the most out of our service
Brilliant - You've created a folio! Now let's add some stocks to it.
