What is a stock's price-to-operating cash flow ratio?

@richie 

The price-to-operating cash flow ratio is a financial metric used to evaluate the valuation of a stock. It compares the market price per share of a stock to the operating cash flow per share generated by the company.

The formula for calculating the price-to-operating cash flow ratio is:

Price-to-operating cash flow ratio = Market price per share / Operating cash flow per share

Operating cash flow represents the cash generated by a company's core operations, excluding one-time items and non-operating activities. It is considered a useful measure of a company's financial health as it reflects the company's ability to generate cash from its day-to-day business operations.

The price-to-operating cash flow ratio provides insight into the market's perception of a company's operating cash flow. A lower ratio suggests that the stock may be undervalued, while a higher ratio indicates that the stock may be overvalued in relation to its operating cash flow.