Operating cash flow yield is a return measure that compares the operating cash flow of a company to its market value. The ratio is calculated by dividing the most recent 12 months operating cash flow by the Market Cap.

All else equal, the lower the ratio, the less attractive a company is as an investment, because it means investors are putting money into the company but not receiving a very good return in exchange. A high operating cash flow yield result means a company is generating enough cash to keep investing in the business and satisfy its debt and other obligations, including dividend payouts.

Operating cash flow measures the return a company is making without investing in new fixed assets, so operating cash flow yield can also be seen as a return on investment proxy for the company.

Formula

OCFYield = 100 * OperCashFl / MktCap