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Related to cash cow: Bcg matrix
A company that pays out most of its earnings per share to stockholders as dividends. Or, a company or division of a company that generates a steady and significant amount of free cash flow.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.
In growth share matrices, the quadrant representing companies, especially subsidies, that produce large profits with little need for cash injection because they have large market shares in slow-growing markets. A cash cow is not necessarily experiencing growth; if it is growing, it is almost always very slow. Corporations want to own cash cows, as they require little oversight compared to the profits they produce. See also: Marketing, Portfolio analysis.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
A business or a segment of a business that produces significantly more cash than it consumes. As an example, a firm may sell a product that requires minimal advertising and promotional expenditures but continues to generate revenues year after year. Firms sometimes use cash cows to provide cash for financing other segments of their business.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.
cash cowsee BOSTON MATRIX.
Collins Dictionary of Business, 3rd ed. © 2002, 2005 C Pass, B Lowes, A Pendleton, L Chadwick, D O’Reilly and M Afferson