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.
Vertex Pharmaceuticals Inc
Physical assets are 18.2% of total assets, a light footprint. Capex is 2.09x 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. ROIC is 25.4%, above an 8% cost-of-capital hurdle.
Fixed-asset turnover is 3.92x. Compare it with other names in the same basket.
Physical asset ratio
18.2%Physical asset ratio · 2025-12-31(Net PP&E + inventory) / total assetsNet PP&E$3.08BpropertyPlantAndEquipmentNetInventory$1.69BinventoryTotal assets$26.14BtotalAssetsResult 18.2%
Net PP&E plus inventory, divided by total assets. Above 50% is a heavy footprint.
Fixed asset turnover
3.92xFixed asset turnover · 2025-12-31Revenue / net PP&ERevenue$12.07BtotalRevenueNet PP&E$3.08BpropertyPlantAndEquipmentNetResult 3.92x
Revenue per dollar of the physical asset base.
Capex / D&A
2.09xCapex / D&A · 2025-12-31Capital expenditures / depreciation and amortizationCapex$437.60McapitalExpendituresD&A$209.80MdepreciationAndAmortizationResult 2.09x
Above 1.0x means the physical base is being replaced or expanded.
Tangible book / share
$66.49Tangible book / share · 2025-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$26.14BtotalAssetsGoodwill$1.09BgoodWillIntangibles$424.20MintangibleAssetsLiabilities$7.48BtotalLiabTangible book$17.15BShares258,000,000commonStockSharesOutstandingResult $66.49
Assets minus goodwill, intangibles, and liabilities, per share.
Price / tangible book
8.41xPrice / tangible bookPrice / tangible book per sharePrice$558.88Latest quoteTangible book / share$66.492025-12-31Result 8.41x
Price $558.88.
Fixed-charge coverage
46.08xFixed-charge coverage · 2025-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$4.87BebitdaCapex$437.60McapitalExpendituresInterest$13.30MinterestExpenseShort-term debt$82.80MshortTermDebtEBITDA − capex$4.43BPrincipal due is short-term debt.Result 46.08x
EBITDA minus capex, divided by interest plus short-term debt.
FCF yield
2.3%Free cash flow yield · 2025-12-31Latest free cash flow / current market capFree cash flow$3.19BfreeCashFlowMarket cap$141.65BMarketCapitalizationResult 2.3%
Latest free cash flow divided by current market cap ($141.65B).
ROIC
25.4%ROIC · 2025-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$4.76BoperatingIncomeTax expense$690.00MincomeTaxExpensePretax income$4.64BincomeBeforeTaxTax rate14.9%Equity$18.67BtotalStockholderEquityDebt$3.88BshortLongTermDebtTotalCash$6.61BcashAndShortTermInvestmentsInvested capital$15.94BResult 25.4%
After-tax operating income over equity plus debt minus cash.
Operating income / net PP&E is 1.54x.
Footprint and return
Turnover and reinvestment
| Year | Physical | FAT | Capex/D&A | TBV/sh | Coverage | FCF | ROIC | EBIT/PP&E |
|---|---|---|---|---|---|---|---|---|
| 2018 | 15.0%Physical asset ratio · 2018-12-31(Net PP&E + inventory) / total assetsNet PP&E$812.01MpropertyPlantEquipmentInventory$124.36MinventoryTotal assets$6.25BtotalAssetsResult 15.0% | 3.75xFixed asset turnover · 2018-12-31Revenue / net PP&ERevenue$3.05BtotalRevenueNet PP&E$812.01MpropertyPlantEquipmentResult 3.75x | 1.32xCapex / D&A · 2018-12-31Capital expenditures / depreciation and amortizationCapex$95.52McapitalExpendituresD&A$72.42MdepreciationAndAmortizationResult 1.32x | $16.72Tangible book / share · 2018-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$6.25BtotalAssetsGoodwill$50.38MgoodWillIntangibles$50.38MintangibleAssetsLiabilities$1.81BtotalLiabTangible book$4.33BShares259,185,000commonStockSharesOutstandingResult $16.72 | 13.91xFixed-charge coverage · 2018-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$706.78MebitdaCapex$95.52McapitalExpendituresInterest$34.12MinterestExpenseShort-term debt$9.82MshortTermDebtEBITDA − capex$611.26MPrincipal due is short-term debt.Result 13.91x | $1.17BFree cash flow · 2018-12-31Reported free cash flowOperating cash flow$1.27BtotalCashFromOperatingActivitiesCapex$95.52McapitalExpendituresFree cash flow$1.17BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $1.17B | 34.2%ROIC · 2018-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$635.15MoperatingIncomeTax expense-$1.49BincomeTaxExpensePretax income$600.24MincomeBeforeTaxTax rate0.0%Equity$4.44BtotalStockholderEquityDebt$591.37MshortLongTermDebtTotalCash$3.17BcashAndShortTermInvestmentsInvested capital$1.86BResult 34.2% | 0.78xEBIT / PP&E · 2018-12-31Operating income / net PP&EOperating income$635.15MoperatingIncomeNet PP&E$812.01MpropertyPlantEquipmentResult 0.78x |
| 2019 | 12.0%Physical asset ratio · 2019-12-31(Net PP&E + inventory) / total assetsNet PP&E$833.28MpropertyPlantEquipmentInventory$167.50MinventoryTotal assets$8.32BtotalAssetsResult 12.0% | 5.00xFixed asset turnover · 2019-12-31Revenue / net PP&ERevenue$4.16BtotalRevenueNet PP&E$833.28MpropertyPlantEquipmentResult 5.00x | 0.71xCapex / D&A · 2019-12-31Capital expenditures / depreciation and amortizationCapex$75.45McapitalExpendituresD&A$106.94MdepreciationAndAmortizationResult 0.71x | $17.97Tangible book / share · 2019-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$8.32BtotalAssetsGoodwill$1.00BgoodWillIntangibles$400.00MintangibleAssetsLiabilities$2.23BtotalLiabTangible book$4.68BShares260,673,000commonStockSharesOutstandingResult $17.97 | 15.26xFixed-charge coverage · 2019-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$1.56BebitdaCapex$75.45McapitalExpendituresInterest$58.50MinterestExpenseShort-term debt$38.79MshortTermDebtEBITDA − capex$1.48BPrincipal due is short-term debt.Result 15.26x | $1.49BFree cash flow · 2019-12-31Reported free cash flowOperating cash flow$1.57BtotalCashFromOperatingActivitiesCapex$75.45McapitalExpendituresFree cash flow$1.49BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $1.49B | 34.4%ROIC · 2019-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$1.20BoperatingIncomeTax expense$218.11MincomeTaxExpensePretax income$1.39BincomeBeforeTaxTax rate15.6%Equity$6.09BtotalStockholderEquityDebt$661.66MshortLongTermDebtTotalCash$3.81BcashAndShortTermInvestmentsInvested capital$2.94BResult 34.4% | 1.44xEBIT / PP&E · 2019-12-31Operating income / net PP&EOperating income$1.20BoperatingIncomeNet PP&E$833.28MpropertyPlantEquipmentResult 1.44x |
| 2020 | 13.3%Physical asset ratio · 2020-12-31(Net PP&E + inventory) / total assetsNet PP&E$1.28BpropertyPlantAndEquipmentNetInventory$280.78MinventoryTotal assets$11.75BtotalAssetsResult 13.3% | 4.83xFixed asset turnover · 2020-12-31Revenue / net PP&ERevenue$6.21BtotalRevenueNet PP&E$1.28BpropertyPlantAndEquipmentNetResult 4.83x | 2.37xCapex / D&A · 2020-12-31Capital expenditures / depreciation and amortizationCapex$259.80McapitalExpendituresD&A$109.52MdepreciationAndAmortizationResult 2.37x | $27.66Tangible book / share · 2020-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$11.75BtotalAssetsGoodwill$1.00BgoodWillIntangibles$400.00MintangibleAssetsLiabilities$3.07BtotalLiabTangible book$7.28BShares263,396,000commonStockSharesOutstandingResult $27.66 | 30.08xFixed-charge coverage · 2020-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$3.28BebitdaCapex$259.80McapitalExpendituresInterest$58.15MinterestExpenseShort-term debt$42.40MshortTermDebtEBITDA − capex$3.02BPrincipal due is short-term debt.Result 30.08x | $2.99BFree cash flow · 2020-12-31Reported free cash flowOperating cash flow$3.25BtotalCashFromOperatingActivitiesCapex$259.80McapitalExpendituresFree cash flow$2.99BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $2.99B | 84.0%ROIC · 2020-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$2.86BoperatingIncomeTax expense$405.15MincomeTaxExpensePretax income$3.12BincomeBeforeTaxTax rate13.0%Equity$8.69BtotalStockholderEquityDebt$931.90MshortLongTermDebtTotalCash$6.66BcashAndShortTermInvestmentsInvested capital$2.96BResult 84.0% | 2.22xEBIT / PP&E · 2020-12-31Operating income / net PP&EOperating income$2.86BoperatingIncomeNet PP&E$1.28BpropertyPlantAndEquipmentNetResult 2.22x |
| 2021 | 13.2%Physical asset ratio · 2021-12-31(Net PP&E + inventory) / total assetsNet PP&E$1.42BpropertyPlantAndEquipmentNetInventory$353.10MinventoryTotal assets$13.43BtotalAssetsResult 13.2% | 5.32xFixed asset turnover · 2021-12-31Revenue / net PP&ERevenue$7.57BtotalRevenueNet PP&E$1.42BpropertyPlantAndEquipmentNetResult 5.32x | 1.87xCapex / D&A · 2021-12-31Capital expenditures / depreciation and amortizationCapex$235.00McapitalExpendituresD&A$125.60MdepreciationAndAmortizationResult 1.87x | $33.47Tangible book / share · 2021-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$13.43BtotalAssetsGoodwill$1.00BgoodWillIntangibles$400.00MintangibleAssetsLiabilities$3.33BtotalLiabTangible book$8.70BShares259,899,999commonStockSharesOutstandingResult $33.47 | 18.93xFixed-charge coverage · 2021-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$2.92BebitdaCapex$235.00McapitalExpendituresInterest$61.50MinterestExpenseShort-term debt$80.20MshortTermDebtEBITDA − capex$2.68BPrincipal due is short-term debt.Result 18.93x | $2.41BFree cash flow · 2021-12-31Reported free cash flowOperating cash flow$2.64BtotalCashFromOperatingActivitiesCapex$235.00McapitalExpendituresFree cash flow$2.41BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $2.41B | 67.4%ROIC · 2021-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$2.78BoperatingIncomeTax expense$388.30MincomeTaxExpensePretax income$2.73BincomeBeforeTaxTax rate14.2%Equity$10.10BtotalStockholderEquityDebt$967.40MshortLongTermDebtTotalCash$7.52BcashAndShortTermInvestmentsInvested capital$3.54BResult 67.4% | 1.95xEBIT / PP&E · 2021-12-31Operating income / net PP&EOperating income$2.78BoperatingIncomeNet PP&E$1.42BpropertyPlantAndEquipmentNetResult 1.95x |
| 2022 | 10.6%Physical asset ratio · 2022-12-31(Net PP&E + inventory) / total assetsNet PP&E$1.46BpropertyPlantEquipmentInventory$460.60MinventoryTotal assets$18.15BtotalAssetsResult 10.6% | 6.13xFixed asset turnover · 2022-12-31Revenue / net PP&ERevenue$8.93BtotalRevenueNet PP&E$1.46BpropertyPlantEquipmentResult 6.13x | 1.38xCapex / D&A · 2022-12-31Capital expenditures / depreciation and amortizationCapex$204.70McapitalExpendituresD&A$148.30MdepreciationAndAmortizationResult 1.38x | $47.17Tangible book / share · 2022-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$18.15BtotalAssetsGoodwill$1.09BgoodWillIntangibles$603.60MintangibleAssetsLiabilities$4.24BtotalLiabTangible book$12.22BShares259,100,000commonStockSharesOutstandingResult $47.17 | 29.34xFixed-charge coverage · 2022-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$4.44BebitdaCapex$204.70McapitalExpendituresInterest$54.80MinterestExpenseShort-term debt$89.40MshortTermDebtEBITDA − capex$4.23BPrincipal due is short-term debt.Result 29.34x | $3.93BFree cash flow · 2022-12-31Reported free cash flowOperating cash flow$4.13BtotalCashFromOperatingActivitiesCapex$204.70McapitalExpendituresFree cash flow$3.93BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $3.93B | 83.8%ROIC · 2022-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$4.31BoperatingIncomeTax expense$910.40MincomeTaxExpensePretax income$4.23BincomeBeforeTaxTax rate21.5%Equity$13.91BtotalStockholderEquityDebt$899.70MshortLongTermDebtTotalCash$10.78BcashAndShortTermInvestmentsInvested capital$4.03BResult 83.8% | 2.96xEBIT / PP&E · 2022-12-31Operating income / net PP&EOperating income$4.31BoperatingIncomeNet PP&E$1.46BpropertyPlantEquipmentResult 2.96x |
| 2023 | 9.6%Physical asset ratio · 2023-12-31(Net PP&E + inventory) / total assetsNet PP&E$1.45BpropertyPlantAndEquipmentNetInventory$738.80MinventoryTotal assets$22.73BtotalAssetsResult 9.6% | 6.79xFixed asset turnover · 2023-12-31Revenue / net PP&ERevenue$9.87BtotalRevenueNet PP&E$1.45BpropertyPlantAndEquipmentNetResult 6.79x | 1.43xCapex / D&A · 2023-12-31Capital expenditures / depreciation and amortizationCapex$258.40McapitalExpendituresD&A$181.30MdepreciationAndAmortizationResult 1.43x | $60.09Tangible book / share · 2023-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$22.73BtotalAssetsGoodwill$1.09BgoodWillIntangibles$839.90MintangibleAssetsLiabilities$5.15BtotalLiabTangible book$15.65BShares260,500,000commonStockSharesOutstandingResult $60.09 | 34.01xFixed-charge coverage · 2023-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$4.61BebitdaCapex$258.40McapitalExpendituresInterest$44.10MinterestExpenseShort-term debt$83.70MshortTermDebtEBITDA − capex$4.35BPrincipal due is short-term debt.Result 34.01x | $3.28BFree cash flow · 2023-12-31Reported free cash flowOperating cash flow$3.54BtotalCashFromOperatingActivitiesCapex$258.40McapitalExpendituresFree cash flow$3.28BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $3.28B | 44.2%ROIC · 2023-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$3.83BoperatingIncomeTax expense$760.20MincomeTaxExpensePretax income$4.38BincomeBeforeTaxTax rate17.4%Equity$17.58BtotalStockholderEquityDebt$808.40MshortLongTermDebtTotalCash$11.22BcashAndShortTermInvestmentsInvested capital$7.17BResult 44.2% | 2.64xEBIT / PP&E · 2023-12-31Operating income / net PP&EOperating income$3.83BoperatingIncomeNet PP&E$1.45BpropertyPlantAndEquipmentNetResult 2.64x |
| 2024 | 16.8%Physical asset ratio · 2024-12-31(Net PP&E + inventory) / total assetsNet PP&E$2.58BpropertyPlantAndEquipmentNetInventory$1.21BinventoryTotal assets$22.53BtotalAssetsResult 16.8% | 4.26xFixed asset turnover · 2024-12-31Revenue / net PP&ERevenue$11.02BtotalRevenueNet PP&E$2.58BpropertyPlantAndEquipmentNetResult 4.26x | 1.44xCapex / D&A · 2024-12-31Capital expenditures / depreciation and amortizationCapex$297.70McapitalExpendituresD&A$207.20MdepreciationAndAmortizationResult 1.44x | $56.21Tangible book / share · 2024-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$22.53BtotalAssetsGoodwill$1.09BgoodWillIntangibles$825.90MintangibleAssetsLiabilities$6.12BtotalLiabTangible book$14.50BShares257,900,000commonStockSharesOutstandingResult $56.21 | 1.53xFixed-charge coverage · 2024-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$486.30MebitdaCapex$297.70McapitalExpendituresInterest$30.60MinterestExpenseShort-term debt$92.30MshortTermDebtEBITDA − capex$188.60MPrincipal due is short-term debt.Result 1.53x | -$790.30MFree cash flow · 2024-12-31Reported free cash flowOperating cash flow-$492.60MtotalCashFromOperatingActivitiesCapex$297.70McapitalExpendituresFree cash flow-$790.30MfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result -$790.30M | -1.2%ROIC · 2024-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income-$232.90MoperatingIncomeTax expense$784.10MincomeTaxExpensePretax income$248.50MincomeBeforeTaxTax rate40.0%Equity$16.41BtotalStockholderEquityDebt$1.75BshortLongTermDebtTotalCash$6.12BcashAndShortTermInvestmentsInvested capital$12.04BThe effective tax rate was above 40% and was capped at 40%.Result -1.2% | -0.09xEBIT / PP&E · 2024-12-31Operating income / net PP&EOperating income-$232.90MoperatingIncomeNet PP&E$2.58BpropertyPlantAndEquipmentNetResult -0.09x |
| 2025 | 18.2%Physical asset ratio · 2025-12-31(Net PP&E + inventory) / total assetsNet PP&E$3.08BpropertyPlantAndEquipmentNetInventory$1.69BinventoryTotal assets$26.14BtotalAssetsResult 18.2% | 3.92xFixed asset turnover · 2025-12-31Revenue / net PP&ERevenue$12.07BtotalRevenueNet PP&E$3.08BpropertyPlantAndEquipmentNetResult 3.92x | 2.09xCapex / D&A · 2025-12-31Capital expenditures / depreciation and amortizationCapex$437.60McapitalExpendituresD&A$209.80MdepreciationAndAmortizationResult 2.09x | $66.49Tangible book / share · 2025-12-31(Total assets − goodwill − intangibles − liabilities) / sharesTotal assets$26.14BtotalAssetsGoodwill$1.09BgoodWillIntangibles$424.20MintangibleAssetsLiabilities$7.48BtotalLiabTangible book$17.15BShares258,000,000commonStockSharesOutstandingResult $66.49 | 46.08xFixed-charge coverage · 2025-12-31(EBITDA − capex) / (interest + short-term debt)EBITDA$4.87BebitdaCapex$437.60McapitalExpendituresInterest$13.30MinterestExpenseShort-term debt$82.80MshortTermDebtEBITDA − capex$4.43BPrincipal due is short-term debt.Result 46.08x | $3.19BFree cash flow · 2025-12-31Reported free cash flowOperating cash flow$3.63BtotalCashFromOperatingActivitiesCapex$437.60McapitalExpendituresFree cash flow$3.19BfreeCashFlowFree cash flow is the amount reported on the cash-flow statement.Result $3.19B | 25.4%ROIC · 2025-12-31Operating income × (1 − tax rate) / (equity + debt − cash)Operating income$4.76BoperatingIncomeTax expense$690.00MincomeTaxExpensePretax income$4.64BincomeBeforeTaxTax rate14.9%Equity$18.67BtotalStockholderEquityDebt$3.88BshortLongTermDebtTotalCash$6.61BcashAndShortTermInvestmentsInvested capital$15.94BResult 25.4% | 1.54xEBIT / PP&E · 2025-12-31Operating income / net PP&EOperating income$4.76BoperatingIncomeNet PP&E$3.08BpropertyPlantAndEquipmentNetResult 1.54x |
- Principal due is short-term debt, the amount reported as due within a year.
Latest year inputs (2025)
Net PP&E: $3.08B
Inventory: $1.69B
Total assets: $26.14B
Goodwill: $1.09B
Intangibles: $424.20M
Liabilities: $7.48B
Tangible book: $17.15B
Shares: 258,000,000
Revenue: $12.07B
Capex: $437.60M
D&A: $209.80M
EBITDA: $4.87B
Interest: $13.30M
Short-term debt: $82.80M
Free cash flow: $3.19B
Operating income: $4.76B
Invested capital: $15.94B
Tax rate: 14.9%