Medifast (NYSE:MED) Announces Earnings Results, Misses Expectations By $0.12 EPS

Medifast (NYSE:MED) announced its earnings results on Monday. The specialty retailer reported $0.66 EPS for the quarter, missing the consensus estimate of $0.78 by ($0.12), Briefing.com reports. Medifast had a return on equity of 56.06% and a net margin of 9.27%. The company had revenue of $174.74 million for the quarter, compared to analyst estimates of $168.90 million. During the same quarter last year, the business posted $3.67 earnings per share. The business’s quarterly revenue was down 49.9% on a year-over-year basis. Medifast updated its Q2 guidance to $0.05-0.40 EPS and its Q2 2024 guidance to 0.050-0.400 EPS.

Medifast Stock Performance

Medifast stock traded down $7.86 during midday trading on Tuesday, reaching $27.65. 599,967 shares of the company’s stock were exchanged, compared to its average volume of 381,862. The stock’s 50-day simple moving average is $36.23 and its 200 day simple moving average is $54.44. The firm has a market cap of $301.39 million, a price-to-earnings ratio of 2.94 and a beta of 1.14. Medifast has a 52 week low of $26.02 and a 52 week high of $109.52.

Insider Activity

In related news, Director Scott Schlackman sold 4,053 shares of the business’s stock in a transaction that occurred on Friday, March 8th. The stock was sold at an average price of $39.44, for a total transaction of $159,850.32. Following the transaction, the director now directly owns 7,785 shares of the company’s stock, valued at approximately $307,040.40. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 2.06% of the company’s stock.

Wall Street Analyst Weigh In

Several research firms recently issued reports on MED. TheStreet lowered Medifast from a “c” rating to a “d+” rating in a report on Wednesday, February 21st. DA Davidson decreased their target price on shares of Medifast from $67.00 to $40.00 and set a “neutral” rating for the company in a research note on Wednesday, February 21st.

Medifast Company Profile

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.