Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

Savvy investors look at a company's financial health before buying its stock. Some investors monitor a company's free cash flow and review its cash flow statements to gauge how well it manages its ...

EBITDA stands for earnings before interest, taxes, depreciation and amortization. EBIT, or earnings before interest and taxes, attempts to equalize earnings by eliminating the effects of income taxes ...

The cash flow statement reveals a lot about a business that you can't immediately find on the income statement or balance sheet. For example, many companies are profitable on the income statement, ...

Discretionary cash flow shows remaining funds after all obligations are met. It's calculated by adjusting pre-tax earnings with specific expenses and incomes. Understanding this can help buyers and ...

The Discounted Cash Flow (DCF) method stands as a crucial financial analysis approach employed to assess the worth of an investment or a business by considering its anticipated future cash flows. It ...

Dividends are after-tax cash payments to shareholders. The retained-earnings account in the stockholders' equity section of the balance sheet holds the accumulated profits, minus dividend payments.

Turnover is vanity, profit is sanity, and cash flow is reality. Cash is the lifeblood of a healthy business. Check how you’re doing with our cash flow calculator. Even the most profitable companies ...

Ali Hussain has a background that consists of a career in finance with large financial institutions and in journalism covering business. Vikki Velasquez is a researcher and writer who has managed, ...

I recently posted an article in which I compared Netflix (NFLX) and Gamestop (GME) and presented some financial numbers. I received an email from a reader that my calculation for free cash flow for ...

Perhaps the best picture of a company's current finances, discretionary cash flow refers to the portion of revenue a company has left after all mandatory payments, such as wages, are paid, and all ...

The cash flow statement reveals a lot about a business that you can't immediately find on the income statement or balance sheet. For example, many companies are profitable on the income statement, ...