VODCAUTIOUS

VOD FCF Yield Analysis

17.9%

Updated 878h ago·SEC filings & market data

Key Takeaway

Free cash flow yield measures the cash a company generates after capital spending relative to its stock price, acting like an earnings yield on actual cash.

Sector Performance

95th percentile

VOD

17.9%

Sector Median

4.1%

Sector Avg

9.2%

Prior Period

18.9%(Aug 2026)

↓ Declining
📊

Deep Analysis

Free cash flow yield measures the cash a company generates after capital spending relative to its stock price, acting like an earnings yield on actual cash.

At 17.9%, VOD converts nearly 18% of its market value into free cash annually, which is far above the 4.2% sector median and places the stock in the 95th percentile among peers. The eight-quarter trend is stable, yet the most recent figures show pressure: down 9.1% year-over-year and 5.3% quarter-over-quarter, with the latest reading falling from 19.7% to 17.9%. This combination of an exceptionally high level with a slow erosion signals that the cash cushion remains generous but is shrinking, which can be a warning for investors expecting the payout to hold. The elevated yield offers a margin of safety, but the ongoing decline tempers that benefit and aligns with the overall cautious verdict, as

Frequently Asked Questions

What does the FCF Yield tell investors about VOD?

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.

How is the FCF Yield calculated?

FCF Yield is calculated as: Free Cash Flow / Market Cap.

The Formula

Free Cash Flow / Market Cap

Why It Matters

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.

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VOD

17.9%

Sector Median

4.1%

Sector Avg

9.2%

How VOD's FCF Yield compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.