In the reporting of companies there are columns CAPEX and OPEX. In this article we will talk about what it is and how to use this data when analyzing securities.
What is CAPEX in simple words
CAPEX (from the English "Capital Expenditures" or "Capital expense" - capital expenditures) is a one-time cash expenditure on business development. In Russian they say "capex".
Capital expenditures (CAPEX) are reported under the item "Investments in property, equipment and its renovation".
The main idea of CAPEX is to improve the efficiency of the company through one-time investments. Examples include the following costs:
Purchase of equipment…