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Glossary · Earnings Quality Checklist

FCF conversion >95%

Fundamentals

Definition

FCF ÷ net income near 1 — profits are cash-backed.

Where this appears

From the Earnings Quality Checklist reference sheet, Green lights section.

Lessons that use it

See the reference sheets in the app →

Learn content is for education only — not individualized financial advice, a recommendation, or a solicitation to buy or sell any security. Options involve substantial risk. Examples are simplified and historical patterns never guarantee future results.