Note: This calculator projects per-share Free Cash Flow and Cash values using a 6-year average and user-defined growth rate.
What is Projected Free Cash Flow (FCF)?
Projected Free Cash Flow (FCF) represents the estimated amount of cash that a business
is expected to generate after accounting for capital expenditures.
It is a key indicator of a company’s financial health, used by investors to assess
its ability to expand operations, pay dividends, or reduce debt.
Why Projecting FCF Matters
Forecasting future cash flows helps investors determine a company’s intrinsic value
and overall performance potential. By projecting FCF, you can estimate how much cash
will be available in the coming years — essential for valuation methods such as
Discounted Cash Flow (DCF) analysis.
Projected Free Cash Flow Formula
FCF =
Operating Cash Flow −
Capital Expenditures
To estimate future cash flow, investors often apply a growth rate to the current FCF value.
This provides a projection for upcoming years:
Projected FCF =
Current FCF × (1 +
Growth Rate)n
Key Inputs
Current Free Cash Flow — The latest available FCF value
Growth Rate (%) — Expected annual increase in FCF
Projection Period (Years) — Number of years to forecast
Uses of the Projected FCF & Cash Calculator
Estimate a company’s financial performance over time
Assess investment potential through future cash projections
Support DCF valuation calculations with more accurate data
Compare the projected cash position under different growth scenarios
Use the Rallys Equities Projected FCF & Cash Calculator to forecast potential cash flow
and make informed investment or business planning decisions.
