Free Cash Flow calculations

[racemize]

I'm curious as to what methods everyone uses.  I started by using the relatively simple cash flow statement method (add back depreciation/amortization and other appropriate non-cash charges then subtract estimated cap ex for maintenance to get owner earnings).  However, on a friend's recommendation, I've been reading "Valuation: Measuring and managing the value of companies", which uses NOPLAT and a lot of balance sheet reorganizations to come up with FCF and ROIC.  This second method is much more intensive, but perhaps more accurate?  I'll need to apply it a few times first. 

 

In any event, what do you use?

[Ben Graham]

Warren Buffett's Secret Formula and Methodology

 

Buffett Stock Value Formula: Free Cash Flow / Risk Free Rate

 

http://www.wikiwealth.com/dictionary:warren-buffett-intrinsic-valuation

 

[Packer16]

I use basic FCF from Morningstar as is calculated for each stock on thier website as a starting point.  I will then see if there are adjustments by diving into the 10-Qs and 10-Ks.

 

Packer