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.
CNH Industrial N.V.
Physical assets are 19.1% of total assets, a light footprint. Capex is 2.12x depreciation and free cash flow yield is negative, so the physical base is expanding and consuming cash. EBITDA after capex covers debt service by 0.34x, which is below 1.
Energy, materials, and industrial names often turn net PP&E at about 1x to 3x. This name is at 7.42x.
Physical asset ratio
19.1%
Net PP&E plus inventory, divided by total assets. Above 50% is a heavy footprint.
Fixed asset turnover
7.42x
Revenue per dollar of the physical asset base.
Capex / D&A
2.12x
Above 1.0x means the physical base is being replaced or expanded.
Tangible book / share
$2.47
Assets minus goodwill, intangibles, and liabilities, per share.
Price / tangible book
—
Quote unavailable.
Fixed-charge coverage
0.34x
EBITDA minus capex, divided by interest plus short-term debt.
FCF yield
-2.0%
Latest free cash flow divided by current market cap ($14.40B).
ROIC
12.7%
After-tax operating income over equity plus debt minus cash.
Operating income / net PP&E is 1.50x.
Footprint and return
Turnover and reinvestment
| Year | Physical | FAT | Capex/D&A | TBV/sh | Coverage | FCF | ROIC | EBIT/PP&E |
|---|---|---|---|---|---|---|---|---|
| 2016 | 30.5% | 3.00x | 1.69x | $0.88 | -1.01x | -$26.00M | — | 0.27x |
| 2017 | 31.3% | 3.09x | 1.66x | $0.85 | -0.54x | -$220.00M | 5.9% | 0.28x |
| 2018 | 31.2% | 3.87x | 1.42x | $1.36 | 0.52x | $652.00M | 9.5% | 0.43x |
| 2019 | 30.0% | 3.94x | 1.61x | $2.08 | 0.13x | -$136.00M | 2.3% | 0.12x |
| 2020 | 26.5% | 3.77x | 1.58x | $1.73 | -0.08x | $3.68B | — | -0.05x |
| 2021 | 27.8% | 5.14x | 1.77x | $1.63 | 0.97x | $2.05B | 5.1% | 0.23x |
| 2022 | 19.9% | 7.76x | 3.02x | $1.85 | 0.24x | -$442.00M | 5.8% | 0.67x |
| 2023 | 19.1% | 7.42x | 2.12x | $2.47 | 0.34x | -$288.00M | 12.7% | 1.50x |
- 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 the current portion of debt.
Latest year inputs (2023)
Net PP&E: $3.33B
Inventory: $5.55B
Total assets: $46.35B
Goodwill: $3.61B
Intangibles: $1.29B
Liabilities: $38.12B
Tangible book: $3.33B
Shares: 1,350,000,000
Revenue: $24.69B
Capex: $1.20B
D&A: $564.00M
EBITDA: $5.55B
Interest: $1.31B
Short-term debt: $11.48B
Free cash flow: -$288.00M
Operating income: $4.99B
Invested capital: $30.70B
Tax rate: 22.0%