Operating margin is calculated by dividing the company’s operating income by its net sales. A higher ratio in an operating ... as a proxy for operating cash flow because it excludes non-cash ...

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 ...

Finally, the operating cash flow ratio compares a company’s active cash flow from operating activities (CFO) to its current liabilities. This allows a company to better gauge funding ...

While a personal cash flow statement may contain someone's salary and 1099 income, a corporate cash flow statement focuses on operating ... liquidity ratio increases an asset's margin of safety ...