WAB FCF Yield Analysis
Updated 201h ago·SEC filings & market data
Key Takeaway
A 3.0% FCF yield means the company generates free cash flow equal to 3.0% of its market value each year — a measure of how much cash profit an investor gets relative to the stock’s price.
Sector Performance
35th percentileWAB
3.0%
Sector Median
4.2%
Sector Avg
9.2%
Prior Period
3.1%(Jul 2026)
Deep Analysis
A 3.0% FCF yield means the company generates free cash flow equal to 3.0% of its market value each year — a measure of how much cash profit an investor gets relative to the stock’s price.
This sits below the sector median of 4.2%, placing WAB in the 34th percentile among peers, so the stock offers less cash return than most comparable companies. The metric is decreasing: the most recent quarter fell 3.2% from the prior quarter, and the year-over-year change is not available. Looking at the three available values, FCF yield dropped from 3.4% to 3.1% to 3.0%, confirming a steady downward trend. A low and falling FCF yield suggests the stock’s cash generation is weakening relative to its price, which raises the risk of overvaluation or reduced future cash returns. This aligns with the overall NEUTRAL verdict — the decline is not severe enough to be bearish, but the below-median level and negative direction do not support a bullish case.
Frequently Asked Questions
What does the FCF Yield tell investors about WAB?
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.
Who are WAB's closest peers by FCF Yield?
The closest peers by FCF Yield include: JACK (23.5%), BBWI (23.7%), YELP (25.7%), MET (27.9%), WIX (29.2%).
Learn More About FCF Yield
Understanding Free Cash Flow
Free cash flow is the lifeblood of any business. In this post, we explore why it matters more than net income for long-term investors.
Free Cash Flow Yield: Why It Matters More Than Earnings Per Share
EPS is accounting. FCF is reality. Here's how to calculate free cash flow yield, why Warren Buffett prioritizes it, and how to use it to spot genuinely profitable companies.
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.
Master WAB's Valuation
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3.0%
Sector Median
4.2%
Sector Avg
9.2%
How WAB's FCF Yield compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.