Another ratio S&P Analyst Richard Tortoriello recommends to use is 'Operating Cash Flow to capital expenditure'. ('Quantitative Strategies for Achieving Alpha') This ratio is used by analysts to determine a company's ability to fund operations. It helps to get a better understanding of whether a company is able to buy more assets without having to issue debt or equity.
A rising cash flow to capital expenditures ratio might indicate that the company is in a position to grow.
Please note that some industries are more capital intensive than others, which should be taken into account when evaluating companies.