FB  Facebook Inc.

Exchange

NASDAQ

Sector

Technology

Industry

Computer Software: Programming, Data Processing

Market Cap.

63.470B

Excellent Cash Return on Invested Capital over the past 5 years

FB has efficiently invested its financial resources in buildings, projects, and equipment, resulting in strong returns. Annual Reports can be useful in identifying the cause of one-time events and future sustainability.

FB has created $15.27 of cash for every $100 invested.
Figures in USD. Fiscal year ends in December
20072008200920102011
Free Cash Flow -44.00M -62.00M 122.00M 405.00M 943.00M
divided by
Invested Capital 142.00M 208.00M 476.00M 816.00M 1.52B
Cash ROIC -30.99% -29.81% 25.63% 49.63% 61.88%

Poor Return on Equity over the past 5 years

FB has shown an inability to deliver strong results for shareholders. This could be due to poor management, FB operating in a highly competitive industry, or having a weak business in general.

FB has only generated $1.51 of Earnings for every $100 of Shareholders' Equity.
Figures in USD. Fiscal year ends in December
20072008200920102011
Net Income -138.00M -56.00M 229.00M 606.00M 1.00B
divided by
Stockholders' Equity 273.00M 335.00M 868.00M 2.16B 4.90B
Return on Equity -50.55% -16.72% 26.38% 28.03% 20.41%

Mediocre Business Performance over the past 5 years

FB isn't a strong business and might be consistently attempting to fuel growth with debt or has trouble staying profitable. The lack of predictability in free cash flow should be concerning for the reliability of future earnings.

FB has been unable to consistently create value for shareholders.
Figures in USD. Fiscal year ends in December
20072008200920102011
Free Cash Flow -44.00M -62.00M 122.00M 405.00M 943.00M