Capital Intensity
Score how much of a company is physical plant, inventory, and equipment, whether that base is being maintained, and whether the shares have tangible backing.
American Express Company
Banks, insurers, and other financials hold few plants and little inventory, so a physical-asset screen is a poor fit. The ratios below are still the latest annual figures. Capex is 1.36x depreciation and free cash flow yield is still positive, which fits a physical base that is being replaced or expanded without consuming all of its cash.
Fixed-asset turnover is 11.31x. Compare it with other names in the same basket.
Physical asset ratio
2.4%
Net PP&E plus inventory, divided by total assets. Above 50% is a heavy footprint.
Fixed asset turnover
11.31x
Revenue per dollar of the physical asset base.
Capex / D&A
1.36x
Above 1.0x means the physical base is being replaced or expanded.
Tangible book / share
$40.96
Assets minus goodwill, intangibles, and liabilities, per share.
Price / tangible book
7.66x
Price $313.82.
Fixed-charge coverage
1.37x
EBITDA minus capex, divided by interest plus short-term debt.
FCF yield
7.7%
Latest free cash flow divided by current market cap ($207.29B).
ROIC
25.4%
After-tax operating income over equity plus debt minus cash.
Operating income / net PP&E is 1.94x.
Footprint and return
Turnover and reinvestment
| Year | Physical | FAT | Capex/D&A | TBV/sh | Coverage | FCF | ROIC | EBIT/PP&E |
|---|---|---|---|---|---|---|---|---|
| 2018 | 20.3% | 9.80x | 1.01x | $21.71 | 1.36x | $7.62B | 12.8% | 1.84x |
| 2019 | 43.1% | 9.74x | 1.38x | $23.48 | 0.80x | $11.99B | 12.4% | 1.74x |
| 2020 | 62.6% | 7.64x | 0.96x | $23.41 | 1.10x | $4.11B | 23.5% | 0.86x |
| 2021 | 42.5% | 8.91x | 0.91x | $23.00 | 3.30x | $13.10B | 20.9% | 2.14x |
| 2022 | 16.5% | 10.67x | 1.14x | $27.63 | 2.49x | $19.22B | 24.8% | 1.84x |
| 2023 | 57.6% | 11.40x | 0.95x | $32.76 | 1.30x | $17.00B | 29.3% | 1.78x |
| 2024 | 2.3% | 12.02x | 1.14x | $36.40 | 1.32x | $12.14B | 25.6% | 2.09x |
| 2025 | 2.4% | 11.31x | 1.36x | $40.96 | 1.37x | $16.00B | 25.4% | 1.94x |
- Inventory was missing and treated as zero in the physical asset ratio.
- Receivables are larger than the physical asset base, so a finance or credit book may sit outside the physical ratio and inside the debt used for coverage.
- Principal due is short-term debt, the amount reported as due within a year.
Latest year inputs (2025)
Net PP&E: $7.12B
Inventory: $0.00
Total assets: $300.05B
Goodwill: $4.87B
Intangibles: $90.00M
Liabilities: $266.58B
Tangible book: $28.51B
Shares: 696,000,000
Revenue: $80.46B
Capex: $2.43B
D&A: $1.78B
EBITDA: $15.57B
Interest: $8.23B
Short-term debt: $1.37B
Free cash flow: $16.00B
Operating income: $13.80B
Invested capital: $42.70B
Tax rate: 21.5%