The ** Price to Cash Flow Growth Ratio**, or P / CFG Ratio, is a Cash Flow oriented valuation measure that takes into account the growth rate of a firm. It is the Share Price divided by the Cash Flow per Share divided by the Cash Flow growth rate. This is measured on a TTM basis and uses diluted shares outstanding.
Price to Cash Flow Growth is similar to the PEG Ratio but is focused on Cash Flow, rather than Earnings, growth.
It divides the market value by the Operating Cash Flow and then by the Cash Flow growth rate.
This may be preferable as Operating Cash Flow is less volatile and harder to fake than earnings, although EV to Free Cash Flow Growth is likely to be better since enterprise value penalises debt and rewards cash.
This is measured on a TTM basis and uses diluted shares outstanding.
| Ticker | Name | P / CF Growth | StockRank™ |
|---|---|---|---|
| LON:SDV | Chelverton UK Dividend Trust | -349.2 | 0 |
| LON:MYI | Murray International Trust | -151.5 | 0 |
| LON:WTAN | Witan Investment Trust | -61.5 | 0 |
| LON:ATR | Schroder Asian Total Return Investment | -48.7 | 0 |
| LON:TAM | Tatton Asset Management | -48.3 | 74 |