Capex / sales

Capital intensity: capital expenditure over revenue

One of the 61 measures in Stock Scorer, under Quality — How much of the revenue is really kept — and what did it take to earn it?

How it is worked out

Capital expenditure ÷ revenue × 100

Capital expenditure is cash spent on long-lived assets: property, machines, servers. A low share of revenue means the business needs little reinvestment to keep running. It cannot separate spending for growth from spending to stand still.

How to read it

low is good; how much has to be spent to stand still. Cannot separate growth from maintenance spending

Which figures it needs

Computed from 2 figures taken from the filing:

• capex
• revenue

The XBRL tags behind it

These are the element names looked for in a filing, in order. The first one a company reports is the one used, and the company page names which it was — so any figure here can be checked against the filing it came from.

• PaymentsToAcquirePropertyPlantAndEquipment
• PaymentsToAcquireProductiveAssets
• PaymentsToAcquirePropertyPlantAndEquipmentExcludingInterestCapitalized
• PaymentsToAcquireOtherPropertyPlantAndEquipment
• PaymentsToAcquireOtherProductiveAssets
• PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities
• PurchaseOfPropertyPlantAndEquipmentIntangibleAssetsOtherThanGoodwillInvestmentPropertyAndOtherNoncurrentAssets
• RevenueFromContractWithCustomerExcludingAssessedTax
• Revenues
• RevenueFromContractWithCustomerIncludingAssessedTax
• SalesRevenueNet
• SalesRevenueServicesNet
• RevenueFromContractsWithCustomers
• Revenue

Whether it counts

This measure is not counted by default. It can be added to Quality on the dashboard, and it then takes its share of that dimension.