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Cash and conversion

FCF conversion

The share of operating cash flow left as free cash flow after reinvestment in the asset base.

Formula

Free cash flow (operating cash flow − |capex|) ÷ operating cash flow

Served as: annual · derived. Annual and quarterly observations are never mixed unlabeled.

Where the inputs come from

  • NetCashProvidedByUsedInOperatingActivities
  • PaymentsToAcquirePropertyPlantAndEquipment

Listed highest priority first. Every served figure carries its filing, fiscal period and accession; open any value on the financials page to see them.

How to compare it honestly

Compare against the company's own history and capital-intensity peers; heavy reinvestment years honestly depress the ratio.

When it is not served

Not computed when capex is untagged for the period, or when operating cash flow is not positive - a share of a non-positive base misleads.

Missing data is missing evidence: it is never shown as zero and never treated as a conclusion.

What it cannot tell you

Capex timing swings single years; the ratio says nothing about whether the reinvestment earns a return.

Questions worth asking next

  • Is the conversion level stable across the multi-year series?
  • How does the reinvestment share relate to the company's stated capacity plans in the filings?

Research prompts, not recommendations.

See it computed from filings

Related in cash and conversion: Free cash flow · Cash conversion of earnings · Cash returned · Total payout / FCF · Dividend payout

Definitions are descriptive and educational. Nothing here is a guaranteed signal or personalized investment advice. How the platform computes and cites every figure.

Educational content only. Not financial advice. TrendNalysis provides educational and informational financial analysis built from public SEC filings and economic data (FRED, BLS). It is not financial, investment, tax, or legal advice and is not a recommendation to buy or sell any security. Market pricing is not currently included. Past performance does not guarantee future results. Always do your own research and consult a licensed financial professional before investing.