Financial Glossary
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Definition of capex/depreciationCapex/depreciation Capital expenditure divided by depreciation charge for the year. This can help demonstrate whether the company is in a capital investment phase, eg ratio >1, or is no longer investing in assets, eg ratio <1. In most sectors investors would expect this ratio to trend to 1.0 over the long term, as assets are replaced at the same rate as they wear out. FinanceTalking LtdA Leading provider in financial training for non-financial people, corporate communications, financial PR and Investor Relations. We've spent years developing practical, interesting, engaging ways for people to learn - and have developed multiple ways to make the learning stick. Most importantly, people leave our courses with the tools in place to use what they have learnt back at work - and make a difference. Our most popular online courses include:
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