Comparing CIMG (NASDAQ:IMG) & MEDIFAST (NYSE:MED)

CIMG (NASDAQ:IMG) and MEDIFAST (NYSE:MED) are both small-cap consumer staples companies, but which is the better business? We will compare the two businesses based on the strength of their earnings, institutional ownership, dividends, risk, profitability, analyst recommendations and valuation.

Insider and Institutional Ownership

23.4% of CIMG shares are owned by institutional investors. Comparatively, 95.5% of MEDIFAST shares are owned by institutional investors. 0.1% of CIMG shares are owned by insiders. Comparatively, 2.9% of MEDIFAST shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares CIMG and MEDIFAST”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CIMG	$1.93 million	4.46	-$8.97 million	($7.37)	-0.03
MEDIFAST	$602.46 million	0.24	$2.09 million	$0.32	41.22

MEDIFAST has higher revenue and earnings than CIMG. CIMG is trading at a lower price-to-earnings ratio than MEDIFAST, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

CIMG has a beta of 1.02, meaning that its stock price is 2% more volatile than the S&P 500. Comparatively, MEDIFAST has a beta of 0.8, meaning that its stock price is 20% less volatile than the S&P 500.

Profitability

This table compares CIMG and MEDIFAST’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CIMG	N/A	N/A	N/A
MEDIFAST	0.76%	2.00%	1.50%

Analyst Ratings

This is a summary of recent ratings for CIMG and MEDIFAST, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CIMG	0	0	0	0	0.00
MEDIFAST	0	1	0	0	2.00

MEDIFAST has a consensus price target of $16.50, indicating a potential upside of 25.09%. Given MEDIFAST’s stronger consensus rating and higher possible upside, analysts clearly believe MEDIFAST is more favorable than CIMG.

Summary

MEDIFAST beats CIMG on 11 of the 13 factors compared between the two stocks.

About CIMG

CIMG Inc. is a digital marketing, sales and distribution company for various consumer products with focuses on food and beverages. CIMG Inc., formerly known as NUZEE INC., is based in BEIJING.

About MEDIFAST

Medifast, Inc., through its subsidiaries, engages in the manufacture and sale of weight loss, weight management, and healthy living products in the United States and the Asia-Pacific. It offers bars, puffs, cereal, crunchers, drinks, hearty choices, oatmeal, pancakes, pudding, soft serve, shakes, smoothies, soft bakes, and soups under the OPTAVIA, OPTAVIA ACTIVE, and Optimal Health brand names. The company markets its products through point-of-sale transactions, as well as through ecommerce platform. Medifast, Inc. was founded in 1980 and is headquartered in Baltimore, Maryland.