Free cash flow yield

A year’s free cash flow as a percentage of the company’s market value.

How it’s calculated

Free cash flow (cash from operations minus capital spending) ÷ market capitalisation.

How to read it

A 5% FCF yield means the business generated free cash equal to 5% of what the whole company is valued at. It is a cash-based alternative to the P/E ratio.

Free cash flow can swing year to year with large investments.

How StockDecks scores it

Higher scores better. 0% or below counts as weak, 4% as typical and 10% as strong.

It is one of the measures behind the Valuation rating. Every measure, benchmark and weighting is set out on the methodology page.

Real examples

Across the 99 companies StockDecks has a page for with this figure available, as of 24 October 2026, the middle value is 3.9%.

Lowest

Lucid -244.9% · Ford Motor -17.2% · Oracle -12%

Highest

Legal & General 48.1% · General Motors 44.2% · JD Sports Fashion 27.4%

Figures from Yahoo Finance, captured 24 October 2026. Being high or low on one measure says little on its own — each company page shows how this measure sits alongside the others.