Title
Free Cash Flow: Seeing Through the Accounting Fog Machine to Find Great Stocks,New
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This book shows how to use Free Cash Flow to increase investor return. The author explains the differences between Free Cash Flow and GAAP earnings and lays out the disadvantages of GAAP EPS and the advantages of Free Cash Flow. After taking the reader stepbystep through the author's Free Cash Flow version of the GAAP income statement, the book illustrates with simple formulas how each of the four deployments of Free Cash Flow can enhance or diminish shareholder return. The book applies the conceptual building blocks of Free Cash Flow and investor return to an actual company: McDonald's. The reader is taken linebyline through the author's investor return spreadsheet model: (1) three years of McDonald's historical financial statements are modeled; (2) a oneyear projection of McDonald's Free Cash Flow and investor return is modeled. Five companies are compared to McDonald's and each other using both Free Cash Flow and GAAP metrics.
⚠️ WARNING (California Proposition 65):
This product may contain chemicals known to the State of California to cause cancer, birth defects, or other reproductive harm.
For more information, please visit www.P65Warnings.ca.gov.