FCF Yield % is calculated as Free Cash Flow divided by Market Capitalization. It is a financial solvency ratio that compares the free cash flow a company is expected to earn against its market value.
Similar to Earnings Yield %, FCF Yield % is financial solvency ratio. A lower ratio suggests a less attractive investment, indicating that investors might not receive substantial returns in proportion to their investment. Conversely, a high free cash flow yield signals that a company generates sufficient cash to comfortably meet its debts, obligations, and dividend payments, making it a promising investment choice.
ReadyTech Holdings FCF Yield % Related Terms
ReadyTech Holdings FCF Yield % Historical Data
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The historical data trend for ReadyTech Holdings's FCF Yield % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
ASX:RDY vs UBER, SHOP, CRM: FCF Yield % Comparison
For the Software - Application subindustry, ReadyTech Holdings's FCF Yield %, along with its competitors' market caps and FCF Yield % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
ReadyTech Holdings FCF Yield % vs Software Industry
For the Software industry and Technology sector, ReadyTech Holdings's FCF Yield % distribution charts can be found below:
* The bar in red indicates where ReadyTech Holdings's FCF Yield % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
ReadyTech Holdings (ASX:RDY) has a FCF Yield % of -0.41 as of Jul. 02, 2026. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on ReadyTech Holdings and its competitors. According to the industry distribution chart, ReadyTech Holdings ranks #1641 out of 2868 companies in the Software industry, placing it in the top 57.2%.
Is ReadyTech Holdings' FCF Yield % too high?
ReadyTech Holdings' current FCF Yield % is -0.41. Based on the distribution chart, ReadyTech Holdings ranks #1641 out of 2868 companies in the Software industry, which is below the industry midpoint. Overall, ReadyTech Holdings has a GF Score™ of 77/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does ReadyTech Holdings' FCF Yield % compare to UBER and SHOP?
According to the Software industry distribution chart, ReadyTech Holdings ranks #1641 out of 2868 companies for FCF Yield %. This places ReadyTech Holdings in the lower half of its industry. The industry median FCF Yield % is 0.89. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Yield % for a Software company?
The median FCF Yield % among Software companies is 0.89, based on 2,868 companies in the industry. Companies in the top quartile (top 25%) have a FCF Yield % significantly above this median, while those in the bottom quartile fall well below. However, FCF Yield % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Yield % mean?
A high FCF Yield % can signal that a stock is expensive relative to its fundamentals. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on ReadyTech Holdings and its competitors. For the Software industry, the median FCF Yield % is 0.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ReadyTech Holdings's current FCF Yield % is -0.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ReadyTech Holdings stock overvalued right now?
Based on GuruFocus' analysis, ReadyTech Holdings (ASX:RDY) is currently considered Possible Value Trap. The stock's GF Value™ is A$3.35, compared to a current price of A$1.58 — trading 52.8% below its estimated fair value. The current FCF Yield % is -0.41. ReadyTech Holdings' overall GF Score™ is 77/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Yield % calculated?
FCF Yield % is calculated from a company's financial statements. For ReadyTech Holdings (ASX:RDY), the current FCF Yield % is -0.41 as of Jul. 02, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is ReadyTech Holdings (ASX:RDY) Overvalued in 2026?
Based on GuruFocus' analysis, ReadyTech Holdings stock appears to be undervalued.
The current stock price of A$1.58 is trading 52.8% below its estimated GF Value™ of A$3.35.
GuruFocus considers ReadyTech Holdings to be Possible Value Trap.
Key valuation signals for ASX:RDY:
FCF Yield %: -0.41
GF Value™: A$3.35 vs. price of A$1.58 (52.8% below fair value)
No single metric tells the full story. See the ASX:RDY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
ReadyTech Holdings Ltd is a provider of people management software for educators, employers, and facilitators of career transitions. Its products are JR Plus, A2E, HR3, ePayroll, JR Gov, Aussiepay, and others. The company's operating segments include Education and Work pathways, Workforce Solutions, and Government and Justice. It generates maximum revenue from the Government and Justice. The education segment mainly provides products and services to tertiary education providers. Its Workforce segment provides products and services to a mid-sized company across various industries. The Government division provides government and justice case management software as a service solution to local governments, state governments, and justice departments.
77GF Score
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