How Free Cash Flow Reliably Indicates a Sector’s Profitability

Free cash flow (FCF) is the cash a business has left over after it has paid its capital expenditures¹ (capex). Some see FCF as a better metric for measuring a company’s profitability. Not only that, but it can also be a reliable indicator of a sector’s profitability. Consider the energy sector. The FCF yields of companies [...] The post How Free Cash Flow Reliably Indicates a Sector’s Profitability appeared first on ETF Trends .