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 ...

FCFE shows a company's money left after paying bills, essential for assessing financial health. To calculate FCFE: net income + depreciation - capex - working capital + net debt. Positive FCFE ...

Net income and free cash flow are related but are not the same measure. Net income represents a company's accounting profit, whereas cash flow presents whether a company's cash balance increased or ...

A balance sheet displays what a company owns, what it owes, how it's financed, and its shareholders' equity at a particular point in time. An income statement displays the company's revenues and ...