@Dre89 I'd say huge normals with intangible limbs and really solid frame data (dtilt and utilt back hitbox specifically) make him above average in neutral. Partly offset with a giant hurtbox, of course.
Like so many things in this game, its really MU dependent. His neutral feels great in many MUs, but in his tough ones it feels like it falls short. Neutral itself is a gamestate that is hard to 'rank', since the efficacy of your tools is directly tied to the properties of your opponent.
his neutral is not above average. If anything it's below average.
This intangibility that you speak of is not as big a deal as you might think. Some of you probably think he can just swing his arms and blow through anything but that's not the case. His tilts clink with grounded moves for whatever reason; probably game mechanics. When the opponent is on the ground dtilt is the only one that is threatening in neutral because it's fast and relatively safe. Ftilt and Uptilt are too slow or unsafe to to be of much use in neutral. Throwing out utilt or ftilt in neutral without a successful hit will likely put you at frame disadvantage, thus losing neutral. He also has ****ty OoS options allowing many characters to abuse his shield with low cool-down pokes ESPECIALLY IF YOU CROSS HIS SHIELD OR GET BEHIND HIM. His dodge roll is also kinda bad because his huge hurtbox makes it easy to knock him out of his roll. I would give anything to have a dodge roll like the pits or little mac; it does wonders for their neutral.On top of that his specials are all extremely laggy in terms of both start-up and end-lag. Giant Punch is the only one with little cool down but has one of the longest charges in the game and you can't cancel the charge immediately like you can with the other charge moves in the game; this makes him very predictable when he is charging unlike clouds limit charge or samus charge shot being that they both can cancel immediately and have solid OoS options. He has a ****ty dash grab. Dash attack has too much end-lag to just throw it out in neutral. Bair is good but not abusable like sheik fair, ZSS nair. DK's bair requires a bit of commitment. Jab 1 is decent but also not abusable.
TL;DR-the only things DK really has going for him in neutral are:
Dtilt-pretty safe, fast, long-ranged and low cool-down
Advanced movement-fox trot, extended dash dance, perfect pivot
Pivot grab-ton of range, beats a lot of options (use with caution)
Bair-ton of range (use with caution, mainly to stuff aerial approaches)
Everything else is too risky
Back to the intangibility thing. The only time the intangibility really shows is when DK is using his tilts to contest with aerials because they don't clink. Also when it comes to DK's tilts vs aerials it depends on who can reach the others hurtbox first. Take the sword characters for example. Because DK is only intangible on his arm and has an absurdly large hurt box it's not hard for the sword characters to reach his hurtbox before DK reaches theirs. In my experience i find myself either trading or getting hit against characters with long ranged, disjointed melee attacks for their aerials. So yeah, the intangibility is nice in one scenario but underwhelming in grounded scenarios thanks to the game mechanics.