Unlevered free cash flow shows how efficiently a business generates cash, excluding debt and interest, for financial analysis ...
Most finance courses espouse the gospel of discounted cash flow (DCF) analysis as the preferred valuation methodology for all cash flow-generating assets. In theory (and in college final examinations) ...
But don't put your guard down. Even growing, profitable companies can be hit with cash flow problems if their finance, operations, and/or investing activities aren't running efficiently.
Unlevered Free Cash Flow Growth: By focusing on companies with over 10% growth in unlevered free cash flow, we ensured they have a solid financial foundation to support ongoing dividend payments.