Free Cash Flow (FCF)
Definition
Cash generated by a company after accounting for capital expenditures. Indicates cash available for dividends, buybacks, or debt reduction.
Formula / Rules
$ \text{FCF} = \text{Operating Cash Flow} - \text{Capital Expenditures} $
Example
$100 million operating cash flow minus $30 million capex equals $70 million FCF. Ex-Dividend Date Category: Equity Definition: The first day a stock trades without the value of its upcoming dividend. Buyers on or after this date do not receive the
Frequently Asked Question
What is Free Cash Flow (FCF) in trading?
Cash generated by a company after accounting for capital expenditures. Indicates cash available for dividends, buybacks, or debt reduction.
APA Citation
Last updated:
· Source: VixShield Trading Glossary — From SPX Mastery by Russell Clark
⚠️ Not financial advice. This definition is educational content from the SPX Mastery book series by Russell Clark (VixShield). Past performance is not indicative of future results. Trading options involves substantial risk of loss and is not appropriate for all investors. Always paper trade before risking real capital.