Cash Flow Per Share

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Dictionary Says

Definition of 'Cash Flow Per Share'

A measure of a firm's financial strength, calculated as follows:

Cash Flow Per Share


Investopedia Says

Investopedia explains 'Cash Flow Per Share'

Many analysts, as well as some of the greatest investors of all time, place more weight on cash flow per share than earnings per share. Because EPS is more easily manipulated, its reliability can at times be questionable. Cash, on the other hand, is difficult - if not impossible - to fake. You either have cash or you don't. Therefore, cash flow per share is a useful measure for the strength of a firm and the sustainability of its business model.

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