Quickly determine a company's ability to repay its total debt using operating cash flow. Our free Cash Flow to Debt Ratio Calculator helps you assess financial health, solvency, and debt coverage. Make informed investment or lending decisions with this essential financial metric.
Formula:
The Cash Flow to Debt Ratio is calculated using the following formula:
Cash Flow to Debt Ratio = Operating Cash Flow / Total Debt
- Operating Cash Flow: The cash generated by a company's normal business operations before interest and taxes.
- Total Debt: The sum of all short-term and long-term financial obligations owed by the company.