5 Small Caps With CapEx As Much As 20x Revenue

Companies looking to grow often take its retained earnings and invest it back into the business through research, development, or asset purchases. Fast expansion, however, always bears the risk of not earning a substantial enough return on invested dollars. This method becomes even riskier when a company's expenditure levels are much larger than the revenue it is currently collecting. The companies on today's list all have multiples as great as 20 times its Capital Expenditure (CapEx) on current revenue levels.

Ignyta Inc. is a United States-based personalized medicine company that develops products and services to customize diagnosis and treatment of patients with rheumatoid arthritis, lupus, and other autoimmune diseases.

Scorpio Bulkers Inc., based in the Marshall Islands, is a company engaged in marine transportation. It is a provider of transportation services of dry bulk commodities. The Company aims to acquire, own and operate a fleet of medium-sized dry bulk carriers. It has offices in Monaco and New York. The Company has contracted and agreed to purchase 28 Ultramax, 21 Kamsarmax and three Capesize newbuilding dry ship vessels, with deliveries scheduled from second quarter of 2014.

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