the 10 american companies that pull in the most cash

The 10 American Companies That Pull in The Most

Cash

A Quick NoteO Instead of net income, this list measures

the 10 American companies with the most free cash flow.O This is a measure of cash from continuing

operations, minus capital expenditures.O This offers a fuller picture for how much

money a company is able to keep in its coffers every year.

O Financial companies (banks) were not included in the list.

#10IBM (NYSE: IBM)

• 2014 FCF=$13.13 billion• $416 of FCF per second

By shifting focus years ago from making computers to offering business solutions—like mainframes, data analysis and security—IBM has been able to prosper.

#9Verizon (NYSE:

VZ)


After acquiring the other half of Verizon Wireless last year, the company has both the nation’s largest 4G LTE network, and a booming Internet Service Provider business.

#8GE (NYSE: GE)


With the announcement that the company will be spinning out GE Capital, GE may not make this list next year. That being said, investors are happy that GE will once again be focusing on its manufacturing and innovation roots.

#7Oracle (NYSE:

ORCL)


While Oracle pulled in much less cash from operations than many others on this list, it also had the lowest capital expenditures: $580 million. Many will be watching to see if the company can continue to prosper in the post-Larry-Ellison era.

#6Johnson & Johnson

(NYSE: JNJ)


This medical conglomerate focuses on everyday medical care, major medical devices, and pharmaceuticals. The company got a strong boost from its pharmaceutical division last year, primarily from sales of Olysio, Simponi, Stelara, and Zytiga.

#5Pfizer (NYSE:

PFE)


This Big Pharma giant had several big hits last year, including Lyrica, Prevnar, Enbrel, Celebrex, and Lipitor—all which brought in over $2 billion in revenue apiece.

#4Wal-Mart

(NYSE: WMT)


Though the company has been suffering from slowing sales and a major image problem for some time now, Wal-Mart is still able to churn out cash. One interesting fact many don’t know: groceries make up more than half of all of Wal-Mart’s revenue.

#3Berkshire Hathaway

(NYSE: BRK-A) (NYSE: BRK-B)


Warren Buffett’s conglomerate of businesses had another solid year in 2014. Investors worried about Buffett’s eventual departure should be comforted by the fact that these businesses all produce steady cash flows and are relatively stable.

#2Microsoft

(Nasdaq: MSFT)


While the company’s Office Suite is a mainstay cash machine, Microsoft benefitted in 2014 from its expanded presence in cloud computing.

#1Apple (Nasdaq:

AAPL)

• 2014 FCF=$50.14 billion• $1,590 of FCF per

second

Apple absolutely blew the competition away in 2014—as it has for some time. The company sold a whopping 75 million iPhones during the holiday quarter alone, helping it to pull in over $50 billion in free cash flow in just one year.

The dominance of

AppleIt’s astounding how much more cash Apple brings in than all of the others on this list. If consumers love the Apple Watch as much as the iPhone, the cash will continue to roll.

But Apple itself may not be the biggest winner from the trend. Who could be?

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The Small Company Powering Apple’s Brand New Gadgets

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the 10 american companies that pull in the most cash

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