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.
Novanta Inc
Physical assets are 19.3% of total assets, a light footprint. Capex is 0.25x depreciation while free cash flow yield is positive, which can mean an aging base that is still throwing off cash. ROIC is 7.1%, below an 8% cost-of-capital hurdle.
Technology and communication names are often asset-light, with fixed-asset turnover above 5x. This name is at 6.12x.
Physical asset ratio
19.3%Physical asset ratio · 2025-12-31(Net PP&E + inventory) / total assetsNet PP&E$160.19MpropertyPlantAndEquipmentNetInventory$188.28MinventoryTotal assets$1.81BtotalAssetsResult 19.3%
Net PP&E plus inventory, divided by total assets. Above 50% is a heavy footprint.
Fixed asset turnover
6.12xFixed asset turnover · 2025-12-31Revenue / net PP&ERevenue$980.60MtotalRevenueNet PP&E$160.19MpropertyPlantAndEquipmentNetResult 6.12x
Revenue per dollar of the physical asset base.
Capex / D&A
0.25xCapex / D&A · 2025-12-31Capital expenditures / depreciation and amortizationCapex$15.63McapitalExpendituresD&A$61.93MdepreciationAndAmortizationResult 0.25x
Above 1.0x means the physical base is being replaced or expanded.
Tangible book / share
$13.25Tangible book / share · 2025-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$1.81BtotalAssetsGoodwill$647.35MgoodWillIntangibles$180.78MintangibleAssetsLiabilities$492.82MtotalLiabTangible book$486.16MShares36,702,000commonStockSharesOutstandingResult $13.25
Assets minus goodwill, intangibles, and liabilities, per share.
Price / tangible book
10.20xPrice / tangible bookPrice / tangible book per sharePrice$135.15Latest quoteTangible book / share$13.252025-12-31Result 10.20x
Price $135.15.
Fixed-charge coverage
2.30xFixed-charge coverage · 2025-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$153.05MebitdaCapex$15.63McapitalExpendituresInterest$21.47MinterestExpenseShort-term debt$38.29MshortLongTermDebtEBITDA − capex$137.42MPrincipal due is the current portion of debt.Result 2.30x
EBITDA minus capex, divided by interest plus short-term debt.
FCF yield
1.0%Free cash flow yield · 2025-12-31Latest free cash flow / current market capFree cash flow$48.43MfreeCashFlowMarket cap$4.99BMarketCapitalizationResult 1.0%
Latest free cash flow divided by current market cap ($4.99B).
ROIC
7.1%ROIC · 2025-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$116.66MoperatingIncomeTax expense$15.81MincomeTaxExpensePretax income$69.64MincomeBeforeTaxTax rate22.7%Equity$1.31BtotalStockholderEquityDebt$341.61MshortLongTermDebtTotalCash$380.87McashInvested capital$1.28BResult 7.1%
After-tax operating income over equity plus debt minus cash.
Operating income / net PP&E is 0.73x.
Footprint and return
Turnover and reinvestment
| Year | Physical | FAT | Capex/D&A | TBV/sh | Coverage | FCF | ROIC | EBIT/PP&E |
|---|---|---|---|---|---|---|---|---|
| 2018 | 23.7%Physical asset ratio · 2018-12-31(Net PP&E + inventory) / total assetsNet PP&E$65.46MpropertyPlantEquipmentInventory$104.76MinventoryTotal assets$719.58MtotalAssetsResult 23.7% | 9.38xFixed asset turnover · 2018-12-31Revenue / net PP&ERevenue$614.34MtotalRevenueNet PP&E$65.46MpropertyPlantEquipmentResult 9.38x | 0.40xCapex / D&A · 2018-12-31Capital expenditures / depreciation and amortizationCapex$14.66McapitalExpendituresD&A$37.05MdepreciationAndAmortizationResult 0.40x | $0.22Tangible book / share · 2018-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$719.58MtotalAssetsGoodwill$217.66MgoodWillIntangibles$142.92MintangibleAssetsLiabilities$351.32MtotalLiabTangible book$7.67MShares35,473,000commonStockSharesOutstandingResult $0.22 | 7.07xFixed-charge coverage · 2018-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$116.06MebitdaCapex$14.66McapitalExpendituresInterest$9.81MinterestExpenseShort-term debt$4.54MshortTermDebtEBITDA − capex$101.40MPrincipal due is short-term debt.Result 7.07x | $74.99MFree cash flow · 2018-12-31Reported free cash flowOperating cash flow$89.65MtotalCashFromOperatingActivitiesCapex$14.66McapitalExpendituresFree cash flow$74.99MfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $74.99M | 12.0%ROIC · 2018-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$71.01MoperatingIncomeTax expense$10.21MincomeTaxExpensePretax income$61.30MincomeBeforeTaxTax rate16.7%Equity$368.26MtotalStockholderEquityDebt$207.38MshortLongTermDebtTotalCash$82.04McashInvested capital$493.59MResult 12.0% | 1.08xEBIT / PP&E · 2018-12-31Operating income / net PP&EOperating income$71.01MoperatingIncomeNet PP&E$65.46MpropertyPlantEquipmentResult 1.08x |
| 2019 | 26.4%Physical asset ratio · 2019-12-31(Net PP&E + inventory) / total assetsNet PP&E$112.74MpropertyPlantAndEquipmentNetInventory$116.62MinventoryTotal assets$869.74MtotalAssetsResult 26.4% | 5.55xFixed asset turnover · 2019-12-31Revenue / net PP&ERevenue$626.10MtotalRevenueNet PP&E$112.74MpropertyPlantAndEquipmentNetResult 5.55x | 0.28xCapex / D&A · 2019-12-31Capital expenditures / depreciation and amortizationCapex$10.74McapitalExpendituresD&A$38.28MdepreciationAndAmortizationResult 0.28x | -$0.67Tangible book / share · 2019-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$869.74MtotalAssetsGoodwill$274.71MgoodWillIntangibles$166.18MintangibleAssetsLiabilities$452.56MtotalLiabTangible book-$23.71MShares35,546,000commonStockSharesOutstandingResult -$0.67 | 7.35xFixed-charge coverage · 2019-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$110.14MebitdaCapex$10.74McapitalExpendituresInterest$8.49MinterestExpenseShort-term debt$5.03MshortLongTermDebtEBITDA − capex$99.39MPrincipal due is the current portion of debt.Result 7.35x | $52.51MFree cash flow · 2019-12-31Reported free cash flowOperating cash flow$63.25MtotalCashFromOperatingActivitiesCapex$10.74McapitalExpendituresFree cash flow$52.51MfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $52.51M | 8.0%ROIC · 2019-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$55.28MoperatingIncomeTax expense$4.99MincomeTaxExpensePretax income$45.77MincomeBeforeTaxTax rate10.9%Equity$417.17MtotalStockholderEquityDebt$275.67MshortLongTermDebtTotalCash$78.94McashInvested capital$613.90MResult 8.0% | 0.49xEBIT / PP&E · 2019-12-31Operating income / net PP&EOperating income$55.28MoperatingIncomeNet PP&E$112.74MpropertyPlantAndEquipmentNetResult 0.49x |
| 2020 | 23.8%Physical asset ratio · 2020-12-31(Net PP&E + inventory) / total assetsNet PP&E$113.12MpropertyPlantAndEquipmentNetInventory$92.74MinventoryTotal assets$865.18MtotalAssetsResult 23.8% | 5.22xFixed asset turnover · 2020-12-31Revenue / net PP&ERevenue$590.62MtotalRevenueNet PP&E$113.12MpropertyPlantAndEquipmentNetResult 5.22x | 0.27xCapex / D&A · 2020-12-31Capital expenditures / depreciation and amortizationCapex$10.52McapitalExpendituresD&A$38.29MdepreciationAndAmortizationResult 0.27x | $1.19Tangible book / share · 2020-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$865.18MtotalAssetsGoodwill$285.98MgoodWillIntangibles$148.52MintangibleAssetsLiabilities$388.37MtotalLiabTangible book$42.31MShares35,654,000commonStockSharesOutstandingResult $1.19 | 7.25xFixed-charge coverage · 2020-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$97.99MebitdaCapex$10.52McapitalExpendituresInterest$6.56MinterestExpenseShort-term debt$5.51MshortLongTermDebtEBITDA − capex$87.47MPrincipal due is the current portion of debt.Result 7.25x | $129.72MFree cash flow · 2020-12-31Reported free cash flowOperating cash flow$140.24MtotalCashFromOperatingActivitiesCapex$10.52McapitalExpendituresFree cash flow$129.72MfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $129.72M | 8.5%ROIC · 2020-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$55.89MoperatingIncomeTax expense$3.88MincomeTaxExpensePretax income$48.40MincomeBeforeTaxTax rate8.0%Equity$476.81MtotalStockholderEquityDebt$255.05MshortLongTermDebtTotalCash$125.05McashInvested capital$606.81MResult 8.5% | 0.49xEBIT / PP&E · 2020-12-31Operating income / net PP&EOperating income$55.89MoperatingIncomeNet PP&E$113.12MpropertyPlantAndEquipmentNetResult 0.49x |
| 2021 | 21.3%Physical asset ratio · 2021-12-31(Net PP&E + inventory) / total assetsNet PP&E$135.78MpropertyPlantEquipmentInventory$125.66MinventoryTotal assets$1.23BtotalAssetsResult 21.3% | 5.21xFixed asset turnover · 2021-12-31Revenue / net PP&ERevenue$706.79MtotalRevenueNet PP&E$135.78MpropertyPlantEquipmentResult 5.21x | 0.51xCapex / D&A · 2021-12-31Capital expenditures / depreciation and amortizationCapex$22.18McapitalExpendituresD&A$43.39MdepreciationAndAmortizationResult 0.51x | -$5.01Tangible book / share · 2021-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$1.23BtotalAssetsGoodwill$479.50MgoodWillIntangibles$220.99MintangibleAssetsLiabilities$706.59MtotalLiabTangible book-$179.20MShares35,781,000commonStockSharesOutstandingResult -$5.01 | 8.27xFixed-charge coverage · 2021-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$125.47MebitdaCapex$22.18McapitalExpendituresInterest$7.39MinterestExpenseShort-term debt$5.10MshortLongTermDebtEBITDA − capex$103.29MPrincipal due is the current portion of debt.Result 8.27x | $72.45MFree cash flow · 2021-12-31Reported free cash flowOperating cash flow$94.63MtotalCashFromOperatingActivitiesCapex$22.18McapitalExpendituresFree cash flow$72.45MfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $72.45M | 6.4%ROIC · 2021-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$64.05MoperatingIncomeTax expense$5.84MincomeTaxExpensePretax income$56.17MincomeBeforeTaxTax rate10.4%Equity$521.29MtotalStockholderEquityDebt$493.40MshortLongTermDebtTotalCash$117.39McashInvested capital$897.30MResult 6.4% | 0.47xEBIT / PP&E · 2021-12-31Operating income / net PP&EOperating income$64.05MoperatingIncomeNet PP&E$135.78MpropertyPlantEquipmentResult 0.47x |
| 2022 | 25.3%Physical asset ratio · 2022-12-31(Net PP&E + inventory) / total assetsNet PP&E$146.50MpropertyPlantAndEquipmentNetInventory$168.00MinventoryTotal assets$1.24BtotalAssetsResult 25.3% | 5.88xFixed asset turnover · 2022-12-31Revenue / net PP&ERevenue$860.90MtotalRevenueNet PP&E$146.50MpropertyPlantAndEquipmentNetResult 5.88x | 0.37xCapex / D&A · 2022-12-31Capital expenditures / depreciation and amortizationCapex$19.64McapitalExpendituresD&A$53.16MdepreciationAndAmortizationResult 0.37x | -$2.15Tangible book / share · 2022-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$1.24BtotalAssetsGoodwill$478.90MgoodWillIntangibles$175.77MintangibleAssetsLiabilities$663.63MtotalLiabTangible book-$77.08MShares35,909,000commonStockSharesOutstandingResult -$2.15 | 6.91xFixed-charge coverage · 2022-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$160.62MebitdaCapex$19.64McapitalExpendituresInterest$15.62MinterestExpenseShort-term debt$4.80MshortLongTermDebtEBITDA − capex$140.98MPrincipal due is the current portion of debt.Result 6.91x | $71.14MFree cash flow · 2022-12-31Reported free cash flowOperating cash flow$90.78MtotalCashFromOperatingActivitiesCapex$19.64McapitalExpendituresFree cash flow$71.14MfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $71.14M | 9.1%ROIC · 2022-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$103.08MoperatingIncomeTax expense$13.11MincomeTaxExpensePretax income$87.16MincomeBeforeTaxTax rate15.0%Equity$577.59MtotalStockholderEquityDebt$489.38MshortLongTermDebtTotalCash$100.11McashInvested capital$966.86MResult 9.1% | 0.70xEBIT / PP&E · 2022-12-31Operating income / net PP&EOperating income$103.08MoperatingIncomeNet PP&E$146.50MpropertyPlantAndEquipmentNetResult 0.70x |
| 2023 | 24.2%Physical asset ratio · 2023-12-31(Net PP&E + inventory) / total assetsNet PP&E$147.75MpropertyPlantAndEquipmentNetInventory$149.37MinventoryTotal assets$1.23BtotalAssetsResult 24.2% | 5.97xFixed asset turnover · 2023-12-31Revenue / net PP&ERevenue$881.66MtotalRevenueNet PP&E$147.75MpropertyPlantAndEquipmentNetResult 5.97x | 0.43xCapex / D&A · 2023-12-31Capital expenditures / depreciation and amortizationCapex$19.96McapitalExpendituresD&A$46.61MdepreciationAndAmortizationResult 0.43x | $1.22Tangible book / share · 2023-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$1.23BtotalAssetsGoodwill$484.51MgoodWillIntangibles$145.02MintangibleAssetsLiabilities$552.60MtotalLiabTangible book$43.93MShares36,031,000commonStockSharesOutstandingResult $1.22 | 4.87xFixed-charge coverage · 2023-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$169.92MebitdaCapex$19.96McapitalExpendituresInterest$25.82MinterestExpenseShort-term debt$4.97MshortLongTermDebtEBITDA − capex$149.96MPrincipal due is the current portion of debt.Result 4.87x | $100.11MFree cash flow · 2023-12-31Reported free cash flowOperating cash flow$120.08MtotalCashFromOperatingActivitiesCapex$19.96McapitalExpendituresFree cash flow$100.11MfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $100.11M | 9.9%ROIC · 2023-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$110.50MoperatingIncomeTax expense$10.87MincomeTaxExpensePretax income$83.75MincomeBeforeTaxTax rate13.0%Equity$673.46MtotalStockholderEquityDebt$404.56MshortLongTermDebtTotalCash$105.05McashInvested capital$972.97MResult 9.9% | 0.75xEBIT / PP&E · 2023-12-31Operating income / net PP&EOperating income$110.50MoperatingIncomeNet PP&E$147.75MpropertyPlantAndEquipmentNetResult 0.75x |
| 2024 | 21.7%Physical asset ratio · 2024-12-31(Net PP&E + inventory) / total assetsNet PP&E$156.04MpropertyPlantAndEquipmentNetInventory$144.61MinventoryTotal assets$1.39BtotalAssetsResult 21.7% | 6.08xFixed asset turnover · 2024-12-31Revenue / net PP&ERevenue$949.25MtotalRevenueNet PP&E$156.04MpropertyPlantAndEquipmentNetResult 6.08x | 0.31xCapex / D&A · 2024-12-31Capital expenditures / depreciation and amortizationCapex$17.16McapitalExpendituresD&A$55.56MdepreciationAndAmortizationResult 0.31x | -$0.67Tangible book / share · 2024-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$1.39BtotalAssetsGoodwill$584.10MgoodWillIntangibles$185.84MintangibleAssetsLiabilities$642.81MtotalLiabTangible book-$24.24MShares36,124,000commonStockSharesOutstandingResult -$0.67 | 4.50xFixed-charge coverage · 2024-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$179.86MebitdaCapex$17.16McapitalExpendituresInterest$31.49MinterestExpenseShort-term debt$4.69MshortLongTermDebtEBITDA − capex$162.69MPrincipal due is the current portion of debt.Result 4.50x | $141.35MFree cash flow · 2024-12-31Reported free cash flowOperating cash flow$158.51MtotalCashFromOperatingActivitiesCapex$17.16McapitalExpendituresFree cash flow$141.35MfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $141.35M | 8.1%ROIC · 2024-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$110.58MoperatingIncomeTax expense$14.98MincomeTaxExpensePretax income$79.07MincomeBeforeTaxTax rate18.9%Equity$745.70MtotalStockholderEquityDebt$471.00MshortLongTermDebtTotalCash$113.99McashInvested capital$1.10BResult 8.1% | 0.71xEBIT / PP&E · 2024-12-31Operating income / net PP&EOperating income$110.58MoperatingIncomeNet PP&E$156.04MpropertyPlantAndEquipmentNetResult 0.71x |
| 2025 | 19.3%Physical asset ratio · 2025-12-31(Net PP&E + inventory) / total assetsNet PP&E$160.19MpropertyPlantAndEquipmentNetInventory$188.28MinventoryTotal assets$1.81BtotalAssetsResult 19.3% | 6.12xFixed asset turnover · 2025-12-31Revenue / net PP&ERevenue$980.60MtotalRevenueNet PP&E$160.19MpropertyPlantAndEquipmentNetResult 6.12x | 0.25xCapex / D&A · 2025-12-31Capital expenditures / depreciation and amortizationCapex$15.63McapitalExpendituresD&A$61.93MdepreciationAndAmortizationResult 0.25x | $13.25Tangible book / share · 2025-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$1.81BtotalAssetsGoodwill$647.35MgoodWillIntangibles$180.78MintangibleAssetsLiabilities$492.82MtotalLiabTangible book$486.16MShares36,702,000commonStockSharesOutstandingResult $13.25 | 2.30xFixed-charge coverage · 2025-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$153.05MebitdaCapex$15.63McapitalExpendituresInterest$21.47MinterestExpenseShort-term debt$38.29MshortLongTermDebtEBITDA − capex$137.42MPrincipal due is the current portion of debt.Result 2.30x | $48.43MFree cash flow · 2025-12-31Reported free cash flowOperating cash flow$64.06MtotalCashFromOperatingActivitiesCapex$15.63McapitalExpendituresFree cash flow$48.43MfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $48.43M | 7.1%ROIC · 2025-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$116.66MoperatingIncomeTax expense$15.81MincomeTaxExpensePretax income$69.64MincomeBeforeTaxTax rate22.7%Equity$1.31BtotalStockholderEquityDebt$341.61MshortLongTermDebtTotalCash$380.87McashInvested capital$1.28BResult 7.1% | 0.73xEBIT / PP&E · 2025-12-31Operating income / net PP&EOperating income$116.66MoperatingIncomeNet PP&E$160.19MpropertyPlantAndEquipmentNetResult 0.73x |
- 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 (2025)
Net PP&E: $160.19M
Inventory: $188.28M
Total assets: $1.81B
Goodwill: $647.35M
Intangibles: $180.78M
Liabilities: $492.82M
Tangible book: $486.16M
Shares: 36,702,000
Revenue: $980.60M
Capex: $15.63M
D&A: $61.93M
EBITDA: $153.05M
Interest: $21.47M
Short-term debt: $38.29M
Free cash flow: $48.43M
Operating income: $116.66M
Invested capital: $1.28B
Tax rate: 22.7%