cash flow per share

cash flow per share definition - business

cash flow per share

A value calculated by dividing a firm's cash flow by the average number of shares of capital stock that are outstanding. Cash flow per share is frequently used in valuing a firm's stock by analysts who believe the amount of net cash a firm produces is a more valid measure of its value than its reported earnings per share.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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