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.
Netflix Inc
Physical assets are 7.6% of total assets, a light footprint. Capex is 0.04x depreciation while free cash flow yield is positive, which can mean an aging base that is still throwing off cash. ROIC is 35.9%, above an 8% cost-of-capital hurdle.
Technology and communication names are often asset-light, with fixed-asset turnover above 5x. This name is at 10.73x.
Physical asset ratio
7.6%Physical asset ratio · 2025-12-31(Net PP&E + inventory) / total assetsNet PP&E$4.21BpropertyPlantEquipmentInventory$0.00Not reported, treated as 0Total assets$55.60BtotalAssetsInventory was not reported and is treated as zero.Uses the property line, which is larger than net PP&E ($2.00B, propertyPlantAndEquipmentNet).Result 7.6%
Net PP&E plus inventory, divided by total assets. Above 50% is a heavy footprint.
Fixed asset turnover
10.73xFixed asset turnover · 2025-12-31Revenue / net PP&ERevenue$45.18BtotalRevenueNet PP&E$4.21BpropertyPlantEquipmentResult 10.73x
Revenue per dollar of the physical asset base.
Capex / D&A
0.04xCapex / D&A · 2025-12-31Capital expenditures / depreciation and amortizationCapex$688.22McapitalExpendituresD&A$16.76BdepreciationAndAmortizationResult 0.04x
Above 1.0x means the physical base is being replaced or expanded.
Tangible book / share
-$1.42Tangible book / share · 2025-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$55.60BtotalAssetsGoodwill$0.00Not reported, treated as 0Intangibles$32.78BintangibleAssetsLiabilities$28.98BtotalLiabTangible book-$6.16BShares4,343,863,000commonStockSharesOutstandingGoodwill was not reported and is treated as zero.Result -$1.42
Assets minus goodwill, intangibles, and liabilities, per share.
Price / tangible book
—Price / tangible bookPrice / tangible book per sharePrice$62.08Latest quoteTangible book / share-$1.422025-12-31Tangible book per share is not positive, so the multiple is left blank.Result —
Price $62.08.
Fixed-charge coverage
16.65xFixed-charge coverage · 2025-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$30.25BebitdaCapex$688.22McapitalExpendituresInterest$776.51MinterestExpenseShort-term debt$998.87MshortTermDebtEBITDA − capex$29.57BPrincipal due is short-term debt.Result 16.65x
EBITDA minus capex, divided by interest plus short-term debt.
FCF yield
3.7%Free cash flow yield · 2025-12-31Latest free cash flow / current market capFree cash flow$9.46BfreeCashFlowMarket cap$258.50BMarketCapitalizationResult 3.7%
Latest free cash flow divided by current market cap ($258.50B).
ROIC
35.9%ROIC · 2025-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$13.33BoperatingIncomeTax expense$1.74BincomeTaxExpensePretax income$12.72BincomeBeforeTaxTax rate13.7%Equity$26.62BtotalStockholderEquityDebt$14.46BshortLongTermDebtTotalCash$9.06BcashAndShortTermInvestmentsInvested capital$32.02BResult 35.9%
After-tax operating income over equity plus debt minus cash.
Operating income / net PP&E is 3.16x.
Footprint and return
Turnover and reinvestment
| Year | Physical | FAT | Capex/D&A | TBV/sh | Coverage | FCF | ROIC | EBIT/PP&E |
|---|---|---|---|---|---|---|---|---|
| 2018 | 2.3%Physical asset ratio · 2018-12-31(Net PP&E + inventory) / total assetsNet PP&E$418.28MpropertyPlantEquipmentInventory$178.83MinventoryTotal assets$25.97BtotalAssetsResult 2.3% | 37.76xFixed asset turnover · 2018-12-31Revenue / net PP&ERevenue$15.79BtotalRevenueNet PP&E$418.28MpropertyPlantEquipmentResult 37.76x | 0.03xCapex / D&A · 2018-12-31Capital expenditures / depreciation and amortizationCapex$212.53McapitalExpendituresD&A$7.62BdepreciationAndAmortizationResult 0.03x | -$2.15Tangible book / share · 2018-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$25.97BtotalAssetsGoodwill$0.00Not reported, treated as 0Intangibles$14.96BintangibleAssetsLiabilities$20.74BtotalLiabTangible book-$9.72BShares4,512,440,000commonStockSharesOutstandingGoodwill was not reported and is treated as zero.Result -$2.15 | 10.08xFixed-charge coverage · 2018-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$9.26BebitdaCapex$212.53McapitalExpendituresInterest$420.49MinterestExpenseShort-term debt$477.42MshortTermDebtEBITDA − capex$9.05BPrincipal due is short-term debt.Result 10.08x | -$2.89BFree cash flow · 2018-12-31Reported free cash flowOperating cash flow-$2.68BtotalCashFromOperatingActivitiesCapex$212.53McapitalExpendituresFree cash flow-$2.89BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result -$2.89B | 12.9%ROIC · 2018-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$1.61BoperatingIncomeTax expense$15.22MincomeTaxExpensePretax income$1.23BincomeBeforeTaxTax rate1.2%Equity$5.24BtotalStockholderEquityDebt$10.84BshortLongTermDebtTotalCash$3.79BcashAndEquivalentsInvested capital$12.28BResult 12.9% | 3.84xEBIT / PP&E · 2018-12-31Operating income / net PP&EOperating income$1.61BoperatingIncomeNet PP&E$418.28MpropertyPlantEquipmentResult 3.84x |
| 2019 | 2.2%Physical asset ratio · 2019-12-31(Net PP&E + inventory) / total assetsNet PP&E$565.22MpropertyPlantEquipmentInventory$181.00MinventoryTotal assets$33.98BtotalAssetsResult 2.2% | 35.66xFixed asset turnover · 2019-12-31Revenue / net PP&ERevenue$20.16BtotalRevenueNet PP&E$565.22MpropertyPlantEquipmentResult 35.66x | 0.03xCapex / D&A · 2019-12-31Capital expenditures / depreciation and amortizationCapex$253.04McapitalExpendituresD&A$9.32BdepreciationAndAmortizationResult 0.03x | -$3.75Tangible book / share · 2019-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$33.98BtotalAssetsGoodwill$0.00Not reported, treated as 0Intangibles$24.50BintangibleAssetsLiabilities$26.39BtotalLiabTangible book-$16.92BShares4,517,650,000commonStockSharesOutstandingGoodwill was not reported and is treated as zero.Result -$3.75 | 8.00xFixed-charge coverage · 2019-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$12.01BebitdaCapex$253.04McapitalExpendituresInterest$626.02MinterestExpenseShort-term debt$843.04MshortTermDebtEBITDA − capex$11.76BPrincipal due is short-term debt.Result 8.00x | -$3.14BFree cash flow · 2019-12-31Reported free cash flowOperating cash flow-$2.89BtotalCashFromOperatingActivitiesCapex$253.04McapitalExpendituresFree cash flow-$3.14BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result -$3.14B | 13.0%ROIC · 2019-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$2.60BoperatingIncomeTax expense$195.32MincomeTaxExpensePretax income$2.06BincomeBeforeTaxTax rate9.5%Equity$7.58BtotalStockholderEquityDebt$15.60BshortLongTermDebtTotalCash$5.02BcashAndEquivalentsInvested capital$18.17BResult 13.0% | 4.61xEBIT / PP&E · 2019-12-31Operating income / net PP&EOperating income$2.60BoperatingIncomeNet PP&E$565.22MpropertyPlantEquipmentResult 4.61x |
| 2020 | 3.0%Physical asset ratio · 2020-12-31(Net PP&E + inventory) / total assetsNet PP&E$960.18MpropertyPlantEquipmentInventory$203.04MinventoryTotal assets$39.28BtotalAssetsResult 3.0% | 26.03xFixed asset turnover · 2020-12-31Revenue / net PP&ERevenue$25.00BtotalRevenueNet PP&E$960.18MpropertyPlantEquipmentResult 26.03x | 0.05xCapex / D&A · 2020-12-31Capital expenditures / depreciation and amortizationCapex$497.92McapitalExpendituresD&A$10.92BdepreciationAndAmortizationResult 0.05x | -$3.15Tangible book / share · 2020-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$39.28BtotalAssetsGoodwill$0.00Not reported, treated as 0Intangibles$25.38BintangibleAssetsLiabilities$28.22BtotalLiabTangible book-$14.32BShares4,542,080,000commonStockSharesOutstandingGoodwill was not reported and is treated as zero.Result -$3.15 | 7.96xFixed-charge coverage · 2020-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$15.51BebitdaCapex$497.92McapitalExpendituresInterest$1.39BinterestExpenseShort-term debt$499.88MshortTermDebtEBITDA − capex$15.01BPrincipal due is short-term debt.Result 7.96x | $1.93BFree cash flow · 2020-12-31Reported free cash flowOperating cash flow$2.43BtotalCashFromOperatingActivitiesCapex$497.92McapitalExpendituresFree cash flow$1.93BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $1.93B | 20.6%ROIC · 2020-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$4.59BoperatingIncomeTax expense$437.95MincomeTaxExpensePretax income$3.20BincomeBeforeTaxTax rate13.7%Equity$11.07BtotalStockholderEquityDebt$16.31BshortLongTermDebtTotalCash$8.21BcashAndEquivalentsInvested capital$19.17BResult 20.6% | 4.78xEBIT / PP&E · 2020-12-31Operating income / net PP&EOperating income$4.59BoperatingIncomeNet PP&E$960.18MpropertyPlantEquipmentResult 4.78x |
| 2021 | 3.7%Physical asset ratio · 2021-12-31(Net PP&E + inventory) / total assetsNet PP&E$1.32BpropertyPlantEquipmentInventory$323.82MinventoryTotal assets$44.58BtotalAssetsResult 3.7% | 22.44xFixed asset turnover · 2021-12-31Revenue / net PP&ERevenue$29.70BtotalRevenueNet PP&E$1.32BpropertyPlantEquipmentResult 22.44x | 0.04xCapex / D&A · 2021-12-31Capital expenditures / depreciation and amortizationCapex$524.59McapitalExpendituresD&A$12.44BdepreciationAndAmortizationResult 0.04x | -$3.31Tangible book / share · 2021-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$44.58BtotalAssetsGoodwill$0.00Not reported, treated as 0Intangibles$30.92BintangibleAssetsLiabilities$28.74BtotalLiabTangible book-$15.07BShares4,553,720,000commonStockSharesOutstandingGoodwill was not reported and is treated as zero.Result -$3.31 | 12.64xFixed-charge coverage · 2021-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$19.04BebitdaCapex$524.59McapitalExpendituresInterest$765.62MinterestExpenseShort-term debt$699.82MshortTermDebtEBITDA − capex$18.52BPrincipal due is short-term debt.Result 12.64x | -$131.98MFree cash flow · 2021-12-31Reported free cash flowOperating cash flow$392.61MtotalCashFromOperatingActivitiesCapex$524.59McapitalExpendituresFree cash flow-$131.98MfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result -$131.98M | 21.5%ROIC · 2021-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$6.19BoperatingIncomeTax expense$723.88MincomeTaxExpensePretax income$5.84BincomeBeforeTaxTax rate12.4%Equity$15.85BtotalStockholderEquityDebt$15.39BshortLongTermDebtTotalCash$6.03BcashAndEquivalentsInvested capital$25.21BResult 21.5% | 4.68xEBIT / PP&E · 2021-12-31Operating income / net PP&EOperating income$6.19BoperatingIncomeNet PP&E$1.32BpropertyPlantEquipmentResult 4.68x |
| 2022 | 3.7%Physical asset ratio · 2022-12-31(Net PP&E + inventory) / total assetsNet PP&E$1.40BpropertyPlantEquipmentInventory$392.74MinventoryTotal assets$48.59BtotalAssetsResult 3.7% | 22.61xFixed asset turnover · 2022-12-31Revenue / net PP&ERevenue$31.62BtotalRevenueNet PP&E$1.40BpropertyPlantEquipmentResult 22.61x | 0.03xCapex / D&A · 2022-12-31Capital expenditures / depreciation and amortizationCapex$407.73McapitalExpendituresD&A$14.36BdepreciationAndAmortizationResult 0.03x | -$2.65Tangible book / share · 2022-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$48.59BtotalAssetsGoodwill$0.00Not reported, treated as 0Intangibles$32.74BintangibleAssetsLiabilities$27.82BtotalLiabTangible book-$11.96BShares4,512,900,000commonStockSharesOutstandingGoodwill was not reported and is treated as zero.Result -$2.65 | 28.21xFixed-charge coverage · 2022-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$20.33BebitdaCapex$407.73McapitalExpendituresInterest$706.21MinterestExpenseShort-term debt$0.00shortTermDebtEBITDA − capex$19.93BPrincipal due is short-term debt.Result 28.21x | $1.62BFree cash flow · 2022-12-31Reported free cash flowOperating cash flow$2.03BtotalCashFromOperatingActivitiesCapex$407.73McapitalExpendituresFree cash flow$1.62BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $1.62B | 16.5%ROIC · 2022-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$5.63BoperatingIncomeTax expense$772.01MincomeTaxExpensePretax income$5.26BincomeBeforeTaxTax rate14.7%Equity$20.78BtotalStockholderEquityDebt$14.35BshortLongTermDebtTotalCash$6.06BcashAndShortTermInvestmentsInvested capital$29.07BResult 16.5% | 4.03xEBIT / PP&E · 2022-12-31Operating income / net PP&EOperating income$5.63BoperatingIncomeNet PP&E$1.40BpropertyPlantEquipmentResult 4.03x |
| 2023 | 3.9%Physical asset ratio · 2023-12-31(Net PP&E + inventory) / total assetsNet PP&E$1.49BpropertyPlantEquipmentInventory$408.94MinventoryTotal assets$48.73BtotalAssetsResult 3.9% | 22.61xFixed asset turnover · 2023-12-31Revenue / net PP&ERevenue$33.72BtotalRevenueNet PP&E$1.49BpropertyPlantEquipmentResult 22.61x | 0.02xCapex / D&A · 2023-12-31Capital expenditures / depreciation and amortizationCapex$348.55McapitalExpendituresD&A$14.55BdepreciationAndAmortizationResult 0.02x | -$2.46Tangible book / share · 2023-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$48.73BtotalAssetsGoodwill$0.00Not reported, treated as 0Intangibles$31.66BintangibleAssetsLiabilities$28.14BtotalLiabTangible book-$11.07BShares4,494,966,000commonStockSharesOutstandingGoodwill was not reported and is treated as zero.Result -$2.46 | 19.24xFixed-charge coverage · 2023-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$21.51BebitdaCapex$348.55McapitalExpendituresInterest$699.83MinterestExpenseShort-term debt$399.84MshortLongTermDebtEBITDA − capex$21.16BPrincipal due is the current portion of debt.Result 19.24x | $6.93BFree cash flow · 2023-12-31Reported free cash flowOperating cash flow$7.27BtotalCashFromOperatingActivitiesCapex$348.55McapitalExpendituresFree cash flow$6.93BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $6.93B | 22.9%ROIC · 2023-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$6.95BoperatingIncomeTax expense-$797.42MincomeTaxExpensePretax income$6.21BincomeBeforeTaxTax rate0.0%Equity$20.59BtotalStockholderEquityDebt$16.97BshortLongTermDebtTotalCash$7.14BcashAndShortTermInvestmentsInvested capital$30.42BResult 22.9% | 4.66xEBIT / PP&E · 2023-12-31Operating income / net PP&EOperating income$6.95BoperatingIncomeNet PP&E$1.49BpropertyPlantEquipmentResult 4.66x |
| 2024 | 6.9%Physical asset ratio · 2024-12-31(Net PP&E + inventory) / total assetsNet PP&E$3.70BpropertyPlantEquipmentInventory$0.00Not reported, treated as 0Total assets$53.63BtotalAssetsInventory was not reported and is treated as zero.Uses the property line, which is larger than net PP&E ($1.59B, propertyPlantAndEquipmentNet).Result 6.9% | 10.55xFixed asset turnover · 2024-12-31Revenue / net PP&ERevenue$39.00BtotalRevenueNet PP&E$3.70BpropertyPlantEquipmentResult 10.55x | 0.03xCapex / D&A · 2024-12-31Capital expenditures / depreciation and amortizationCapex$439.54McapitalExpendituresD&A$15.63BdepreciationAndAmortizationResult 0.03x | -$1.75Tangible book / share · 2024-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$53.63BtotalAssetsGoodwill$0.00Not reported, treated as 0Intangibles$32.45BintangibleAssetsLiabilities$28.89BtotalLiabTangible book-$7.71BShares4,392,608,000commonStockSharesOutstandingGoodwill was not reported and is treated as zero.Result -$1.75 | 9.76xFixed-charge coverage · 2024-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$24.88BebitdaCapex$439.54McapitalExpendituresInterest$718.73MinterestExpenseShort-term debt$1.78BshortTermDebtEBITDA − capex$24.44BPrincipal due is short-term debt.Result 9.76x | $6.92BFree cash flow · 2024-12-31Reported free cash flowOperating cash flow$7.36BtotalCashFromOperatingActivitiesCapex$439.54McapitalExpendituresFree cash flow$6.92BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $6.92B | 29.6%ROIC · 2024-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$10.42BoperatingIncomeTax expense$1.25BincomeTaxExpensePretax income$9.97BincomeBeforeTaxTax rate12.6%Equity$24.74BtotalStockholderEquityDebt$15.58BshortLongTermDebtTotalCash$9.58BcashAndShortTermInvestmentsInvested capital$30.74BResult 29.6% | 2.82xEBIT / PP&E · 2024-12-31Operating income / net PP&EOperating income$10.42BoperatingIncomeNet PP&E$3.70BpropertyPlantEquipmentResult 2.82x |
| 2025 | 7.6%Physical asset ratio · 2025-12-31(Net PP&E + inventory) / total assetsNet PP&E$4.21BpropertyPlantEquipmentInventory$0.00Not reported, treated as 0Total assets$55.60BtotalAssetsInventory was not reported and is treated as zero.Uses the property line, which is larger than net PP&E ($2.00B, propertyPlantAndEquipmentNet).Result 7.6% | 10.73xFixed asset turnover · 2025-12-31Revenue / net PP&ERevenue$45.18BtotalRevenueNet PP&E$4.21BpropertyPlantEquipmentResult 10.73x | 0.04xCapex / D&A · 2025-12-31Capital expenditures / depreciation and amortizationCapex$688.22McapitalExpendituresD&A$16.76BdepreciationAndAmortizationResult 0.04x | -$1.42Tangible book / share · 2025-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$55.60BtotalAssetsGoodwill$0.00Not reported, treated as 0Intangibles$32.78BintangibleAssetsLiabilities$28.98BtotalLiabTangible book-$6.16BShares4,343,863,000commonStockSharesOutstandingGoodwill was not reported and is treated as zero.Result -$1.42 | 16.65xFixed-charge coverage · 2025-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$30.25BebitdaCapex$688.22McapitalExpendituresInterest$776.51MinterestExpenseShort-term debt$998.87MshortTermDebtEBITDA − capex$29.57BPrincipal due is short-term debt.Result 16.65x | $9.46BFree cash flow · 2025-12-31Reported free cash flowOperating cash flow$10.15BtotalCashFromOperatingActivitiesCapex$688.22McapitalExpendituresFree cash flow$9.46BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $9.46B | 35.9%ROIC · 2025-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$13.33BoperatingIncomeTax expense$1.74BincomeTaxExpensePretax income$12.72BincomeBeforeTaxTax rate13.7%Equity$26.62BtotalStockholderEquityDebt$14.46BshortLongTermDebtTotalCash$9.06BcashAndShortTermInvestmentsInvested capital$32.02BResult 35.9% | 3.16xEBIT / PP&E · 2025-12-31Operating income / net PP&EOperating income$13.33BoperatingIncomeNet PP&E$4.21BpropertyPlantEquipmentResult 3.16x |
- Inventory was missing and treated as zero in the physical asset ratio.
- Principal due is short-term debt, the amount reported as due within a year.
- The physical ratio uses the property line, which is larger than net corporate PP&E. Real estate portfolios are often carried there.
Latest year inputs (2025)
Net PP&E: $4.21B
Inventory: $0.00
Total assets: $55.60B
Goodwill: $0.00
Intangibles: $32.78B
Liabilities: $28.98B
Tangible book: -$6.16B
Shares: 4,343,863,000
Revenue: $45.18B
Capex: $688.22M
D&A: $16.76B
EBITDA: $30.25B
Interest: $776.51M
Short-term debt: $998.87M
Free cash flow: $9.46B
Operating income: $13.33B
Invested capital: $32.02B
Tax rate: 13.7%