Free Cash Flow Comparison Over the past 5 years, Tesla's FCF has been consistently negative, with the exception of 2013. General Motors reported an FCF of 1,162K and has increased steadily since 2010, while Toyota has faced some volatility with negative FCF every year except 2013. Economic Value Added Economic Value Added (EVA) is a method used to measure the true profitability of a company. EVA is obtained by taking a company's after-tax operating profit and subtracting the annual cost of all capital used by the company. If the company generates positive EVA, its management has created value for its shareholders. If EVA is negative, management has failed to increase shareholder value. (Brigham & Ehrnhardt, 2014, p. 75). EVA promotes the idea that a company is only truly profitable when it creates wealth for its owners and shareholders and is a better indicator than net profit. EVA also includes balance sheet numbers in its calculations and encourages managers to consider assets and liabilities as well as income and expenses when making decisions on behalf of the company. (EVA, Investopedia). The goal of EVA is to determine whether the company has generated a greater return on a capital investment than it could have achieved by investing the money elsewhere. Economic Added Value, or Economic