MED Medifast Inc

Exchange

NYSE

Sector

Consumer Non-Durables

Industry

Packaged Foods

Market Cap.

391.1M

Excellent Cash Return on Invested Capital over the past 5 years

MED 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.

MED has created $22.04 of cash for every $100 invested.

Figures in USD. Fiscal year ends in December

	2007	2008	2009	2010	2011
Free Cash Flow	-11,000.00	-1.95M	15.20M	16.71M	20.21M
divided by
Invested Capital	33.36M	39.55M	40.27M	43.66M	51.61M
Cash ROIC	-0.03%	-4.92%	37.73%	38.28%	39.16%

Excellent Return on Equity over the past 5 years

Over the past 5 years, MED has generated strong profits with money shareholders have invested. This is considered one of the best indicators of quality management. Beware of extremely high Return on Equity (> 50%) as this is often unsustainable.

MED has generated $20.54 of Earnings for every $100 of Shareholders' Equity.

Figures in USD. Fiscal year ends in December

	2007	2008	2009	2010	2011
Net Income	3.84M	5.44M	11.96M	19.61M	18.54M
divided by
Stockholders' Equity	32.42M	38.17M	49.58M	71.96M	73.40M
Return on Equity	11.84%	14.24%	24.13%	27.25%	25.26%

Mediocre Business Performance over the past 10 years

MED 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.

MED has been unable to consistently create value for shareholders.

Figures in USD. Fiscal year ends in December

	2002	2003	2004	2005	2006	2007	2008	2009	2010	2011
Free Cash Flow	-1.52M	-1.59M	341,000.00	1.54M	-2.14M	-11,000.00	-1.95M	15.20M	16.71M	20.21M