ROVI Rovi Corporation

Exchange

NASDAQ

Sector

Consumer Services

Industry

Newspapers/Magazines

Market Cap.

2.461B

Inconsistent Cash Return on Invested Capital over the past 5 years

ROVI has somewhat efficiently invested its financial resources in buildings, projects, and equipment. However, there has been some inconsistency from year-to-year. Look at reasons for this inconsistency to determine the likelihood of future sustainability.

ROVI has created $11.20 of cash for every $100 invested.

Figures in USD. Fiscal year ends in December

	2007	2008	2009	2010	2011
Free Cash Flow	89.07M	57.69M	138.64M	298.51M	223.95M
divided by
Invested Capital	470.82M	2.19B	1.76B	1.74B	2.37B
Cash ROIC	18.92%	2.64%	7.87%	17.15%	9.44%

Poor Return on Equity over the past 5 years

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

ROVI has only generated $0.93 of Earnings for every $100 of Shareholders' Equity.

Figures in USD. Fiscal year ends in December

	2007	2008	2009	2010	2011
Net Income	31.50M	-108.86M	-52.95M	212.88M	-41.29M
divided by
Stockholders' Equity	555.62M	1.50B	1.52B	1.75B	1.69B
Return on Equity	5.67%	-7.26%	-3.48%	12.18%	-2.44%

Excellent Business Performance over the past 10 years

ROVI has been able to maintain profitability in good times and bad. This could mean ROVI has an extremely strong business or has the ability to scale down costs when needed. This should be a fairly resilient business, but double check for future sustainability by looking at its Risk Factors in the Annual Report.

ROVI has created positive free cash flow for 9 or more of the past 10 years.

Figures in USD. Fiscal year ends in December

	2002	2003	2004	2005	2006	2007	2008	2009	2010	2011
Free Cash Flow	51.27M	56.05M	54.89M	44.20M	74.25M	89.07M	57.69M	138.64M	298.51M	223.95M