Valuation

[Dividend Watcher]

I look at it as I narrow down choices. I prefer the P/CF be less than P/E; the greater the difference the better. However, I also take into account what's going on in their respective industry. The oil patch comes immediately to mind where there's now not much of either: earnings or cash flow. They end up selling assets, of which there are many when it comes to the majors, to support the business.