Case Study Regarding Financial Performance in Terms of Cash Flow Return on Investment (CFROI) for Companies Listed and Traded on the Bucharest Stock Exchange, During 2006-2013

Abstract

The specialized literature suggests the modern analytical indicators of the listed companies’ potential, in their construction starting from the concept of value creation. One of this indicators is Cash Flow Return on Investment (CFROI-Rli), considered as the best measuring indicator of value creation. It represents an internal rate of return on investment, expressing in percentage the ratio between the gross cash flow for the period, after deducting amortization and total gross investments of the same period. This paper presents a case study regarding financial performance in terms of cash flow return on investment (CFROI), of Companies listed and traded on the Bucharest Stock Exchange, during 2006-2013.

Keywords

• cash flow return on investment-cfroi
• bucharest stock exchange
• financial performance