Overall Cash Flow RatioSee Calculator
Overall Cash Flow Ratio = Cash Flow from Operations/(Financing Cash Outflows + Investing Cash Outflows).
The overall cash flow ratio shows how well a company generates cash. A ratio greater than one indicates the company can generate more cash than used for financing and investing. A ratio less than one indicates the company uses more money than it generates. This information is important for analyzing companies based on their financials. A good book for further reading is "Barron's Business Keys: Keys to Reading an Annual Report" by George Friedlob and Ralph Welton.