MEDIFAST INC (MED) Stock Fundamental Analysis
USA - NYSE:MED - US58470H1014 - Common Stock
14.57 USD
+0.44 (+3.11%)
14.57 USD
0 (0%)
MED gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 36 industry peers in the Personal Care Products industry. While MED has a great health rating, its profitability is only average at the moment. MED has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year MED was profitable.
In the past year MED had a positive cash flow from operations.
In the past 5 years MED has always been profitable.
MED had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.35%, MED is in line with its industry, outperforming 52.78% of the companies in the same industry.
Looking at the Return On Equity, with a value of 1.68%, MED is in the better half of the industry, outperforming 61.11% of the companies in the same industry.
MED has a Return On Invested Capital (0.66%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MED is significantly above the industry average of 12.97%.
The last Return On Invested Capital (0.66%) for MED is well below the 3 year average (38.03%), which needs to be investigated, but indicates that MED had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.35% | ||
| ROE | 1.68% | ||
| ROIC | 0.66% |
ROA(3y)26.08%
ROA(5y)31.33%
ROE(3y)47.66%
ROE(5y)57.89%
ROIC(3y)38.03%
ROIC(5y)46.7%
1.3 Margins
The Profit Margin of MED (0.76%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of MED has declined.
MED has a Operating Margin (0.46%) which is comparable to the rest of the industry.
MED's Operating Margin has declined in the last couple of years.
With a decent Gross Margin value of 73.84%, MED is doing good in the industry, outperforming 77.78% of the companies in the same industry.
In the last couple of years the Gross Margin of MED has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.46% | ||
| PM (TTM) | 0.76% | ||
| GM | 73.84% |
OM growth 3Y-38.9%
OM growth 5Y-24.01%
PM growth 3Y-68.15%
PM growth 5Y-49.83%
GM growth 3Y-0.04%
GM growth 5Y-0.38%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so MED is creating value.
The number of shares outstanding for MED has been increased compared to 1 year ago.
Compared to 5 years ago, MED has less shares outstanding
There is no outstanding debt for MED. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 5.20 indicates that MED is not in any danger for bankruptcy at the moment.
The Altman-Z score of MED (5.20) is better than 80.56% of its industry peers.
There is no outstanding debt for MED. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 5.2 |
ROIC/WACC0.08
WACC8.7%
2.3 Liquidity
A Current Ratio of 4.47 indicates that MED has no problem at all paying its short term obligations.
The Current ratio of MED (4.47) is better than 91.67% of its industry peers.
A Quick Ratio of 3.82 indicates that MED has no problem at all paying its short term obligations.
The Quick ratio of MED (3.82) is better than 91.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.47 | ||
| Quick Ratio | 3.82 |
3. Growth
3.1 Past
The earnings per share for MED have decreased strongly by -87.18% in the last year.
The earnings per share for MED have been decreasing by -20.59% on average. This is quite bad
Looking at the last year, MED shows a very negative growth in Revenue. The Revenue has decreased by -37.62% in the last year.
The Revenue has been decreasing by -3.33% on average over the past years.
EPS 1Y (TTM)-87.18%
EPS 3Y-47.33%
EPS 5Y-20.59%
EPS Q2Q%-76.09%
Revenue 1Y (TTM)-37.62%
Revenue growth 3Y-26.64%
Revenue growth 5Y-3.33%
Sales Q2Q%-37.38%
3.2 Future
The Earnings Per Share is expected to decrease by -64.21% on average over the next years. This is quite bad
MED is expected to show a very negative growth in Revenue. In the coming years, the Revenue will decrease by -23.25% yearly.
EPS Next Y-146.27%
EPS Next 2Y-64.21%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-36.56%
Revenue Next 2Y-23.25%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
MED is valuated quite expensively with a Price/Earnings ratio of 26.98.
MED's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of MED to the average of the S&P500 Index (27.41), we can say MED is valued inline with the index average.
The Forward Price/Earnings Ratio is negative for MED. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.98 | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | -4.29 |
4.3 Compensation for Growth
The decent profitability rating of MED may justify a higher PE ratio.
MED's earnings are expected to decrease with -64.21% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-64.21%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 9.97%, MED is a good candidate for dividend investing.
MED's Dividend Yield is rather good when compared to the industry average which is at 5.51. MED pays more dividend than 97.22% of the companies in the same industry.
MED's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.97% |
5.2 History
The dividend of MED decreases each year by -53.42%.
MED has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)-53.42%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
5.39% of the earnings are spent on dividend by MED. This is a low number and sustainable payout ratio.
MED's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP5.39%
EPS Next 2Y-64.21%
EPS Next 3YN/A
14.57
+0.44 (+3.11%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryPersonal Care Products
Earnings (Last)
Earnings (Next)
Inst Owners75.57%
Inst Owner Change3.9%
Ins Owners3.3%
Ins Owner Change17.53%
Market Cap160.12M
Analysts46.67
Price Target15.3 (5.01%)
Short Float %19.44%
Short Ratio11.02
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.97% |
Yearly Dividend0.07
Dividend Growth(5Y)-53.42%
DP5.39%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)126.59%
Min EPS beat(2)54.16%
Max EPS beat(2)199.01%
EPS beat(4)4
Avg EPS beat(4)160.04%
Min EPS beat(4)54.16%
Max EPS beat(4)225.1%
EPS beat(8)6
Avg EPS beat(8)101.41%
EPS beat(12)10
Avg EPS beat(12)89.05%
EPS beat(16)13
Avg EPS beat(16)68.5%
Revenue beat(2)2
Avg Revenue beat(2)6.41%
Min Revenue beat(2)4.07%
Max Revenue beat(2)8.75%
Revenue beat(4)4
Avg Revenue beat(4)4.85%
Min Revenue beat(4)3.13%
Max Revenue beat(4)8.75%
Revenue beat(8)7
Avg Revenue beat(8)2.63%
Revenue beat(12)11
Avg Revenue beat(12)4.12%
Revenue beat(16)14
Avg Revenue beat(16)3.32%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-30%
EPS NY rev (1m)7%
EPS NY rev (3m)7%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-10.34%
Revenue NY rev (1m)-2.79%
Revenue NY rev (3m)-2.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.98 | ||
| Fwd PE | N/A | ||
| P/S | 0.33 | ||
| P/FCF | N/A | ||
| P/OCF | 38.56 | ||
| P/B | 0.74 | ||
| P/tB | 0.74 | ||
| EV/EBITDA | -4.29 |
EPS(TTM)0.54
EY3.71%
EPS(NY)-1.41
Fwd EYN/A
FCF(TTM)-0.22
FCFYN/A
OCF(TTM)0.38
OCFY2.59%
SpS43.72
BVpS19.65
TBVpS19.65
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.35% | ||
| ROE | 1.68% | ||
| ROCE | 1% | ||
| ROIC | 0.66% | ||
| ROICexc | 2.44% | ||
| ROICexgc | 2.44% | ||
| OM | 0.46% | ||
| PM (TTM) | 0.76% | ||
| GM | 73.84% | ||
| FCFM | N/A |
ROA(3y)26.08%
ROA(5y)31.33%
ROE(3y)47.66%
ROE(5y)57.89%
ROIC(3y)38.03%
ROIC(5y)46.7%
ROICexc(3y)95.28%
ROICexc(5y)N/A
ROICexgc(3y)95.28%
ROICexgc(5y)N/A
ROCE(3y)57.45%
ROCE(5y)70.54%
ROICexcg growth 3Y-42.96%
ROICexcg growth 5Y-39.1%
ROICexc growth 3Y-42.96%
ROICexc growth 5Y-39.1%
OM growth 3Y-38.9%
OM growth 5Y-24.01%
PM growth 3Y-68.15%
PM growth 5Y-49.83%
GM growth 3Y-0.04%
GM growth 5Y-0.38%
F-Score5
Asset Turnover1.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 47.98% | ||
| Cap/Sales | 1.37% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 26.07% | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.47 | ||
| Quick Ratio | 3.82 | ||
| Altman-Z | 5.2 |
F-Score5
WACC8.7%
ROIC/WACC0.08
Cap/Depr(3y)86.65%
Cap/Depr(5y)168.74%
Cap/Sales(3y)0.96%
Cap/Sales(5y)1.15%
Profit Quality(3y)359.98%
Profit Quality(5y)250.42%
High Growth Momentum
Growth
EPS 1Y (TTM)-87.18%
EPS 3Y-47.33%
EPS 5Y-20.59%
EPS Q2Q%-76.09%
EPS Next Y-146.27%
EPS Next 2Y-64.21%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-37.62%
Revenue growth 3Y-26.64%
Revenue growth 5Y-3.33%
Sales Q2Q%-37.38%
Revenue Next Year-36.56%
Revenue Next 2Y-23.25%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-95.63%
EBIT growth 3Y-55.18%
EBIT growth 5Y-26.54%
EBIT Next Year-106.45%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-101.21%
FCF growth 3Y-34.4%
FCF growth 5Y-25.51%
OCF growth 1Y-98.06%
OCF growth 3Y-36.26%
OCF growth 5Y-21.91%