Medifast (NYSE:MED) Releases Earnings Results, Beats Estimates By $0.37 EPS

Medifast (NYSE:MED) announced its quarterly earnings results on Monday. The specialty retailer reported ($0.28) EPS for the quarter, beating analysts’ consensus estimates of ($0.65) by $0.37, FiscalAI reports. Medifast had a negative return on equity of 4.80% and a negative net margin of 5.78%.The company had revenue of $76.38 million during the quarter, compared to analysts’ expectations of $72.70 million. Medifast updated its FY 2026 guidance to -1.750–0.250 EPS and its Q3 2026 guidance to -0.650–0.150 EPS.

Here are the key takeaways from Medifast’s conference call:

• Revenue and coach counts continued to decline: Q2 revenue fell 27.6% year over year to $76.4 million, while active earning coaches dropped 48.7% to approximately 11,700, reflecting ongoing pressure from GLP-1 medication adoption. The company reported a $3.1 million net loss, or $0.28 per share, versus net income of $2.5 million a year earlier.
• Coach productivity improved for a third consecutive quarter. Revenue per active earning coach increased 41% year over year and 20% sequentially to $6,529, the highest level since Q2 2022; management views this as an early indicator of eventual coach and revenue growth.
• Medifast launched its new Trilivy metabolic-health brand, replacing OPTAVIA as its primary consumer brand, alongside new Reset Fuelings and the Medifast Metabolic Health Institute. Management said coach and client reception has been highly positive and expects the initiatives to support growth through the remainder of 2026.
• Management is targeting a return to profitability in Q4 2026. The Catalyst cost-savings program, expected to ramp in Q3, is intended to generate millions of dollars in savings through facility rationalization, AI efficiencies, and other streamlining actions, although the company has not yet quantified the savings or implementation costs.
• Medifast ended Q2 with $169.8 million in cash and investments and no debt, but expects continued near-term coach-count declines. Q3 guidance calls for revenue of $60 million to $80 million and a loss of $0.15 to $0.65 per share, excluding one-time Catalyst costs; full-year revenue guidance remains $270 million to $300 million.

Medifast Stock Down 1.1%

Medifast stock traded down $0.10 during mid-day trading on Monday, hitting $9.72. 230,646 shares of the stock were exchanged, compared to its average volume of 234,457. The stock has a market capitalization of $108.14 million, a price-to-earnings ratio of -5.31 and a beta of 0.65. Medifast has a 12 month low of $9.22 and a 12 month high of $15.11. The firm’s fifty day simple moving average is $11.11 and its two-hundred day simple moving average is $11.05.

Wall Street Analysts Forecast Growth

MED has been the subject of a number of recent research reports. Weiss Ratings cut Medifast from a “sell (d-)” rating to a “sell (e+)” rating in a report on Wednesday, May 6th. Zacks Research upgraded Medifast from a “hold” rating to a “strong-buy” rating in a report on Monday, July 13th. One research analyst has rated the stock with a Strong Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, Medifast presently has a consensus rating of “Hold” and an average price target of $12.00.

Insider Activity at Medifast

In other news, Director Scott Schlackman acquired 2,500 shares of the firm’s stock in a transaction dated Monday, May 11th. The stock was bought at an average cost of $12.53 per share, for a total transaction of $31,325.00. Following the completion of the transaction, the director directly owned 30,549 shares in the company, valued at $382,778.97. This represents a 8.91% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Corporate insiders own 3.70% of the company’s stock.

Institutional Trading of Medifast

Institutional investors have recently bought and sold shares of the company. Charles Schwab Investment Management Inc. grew its holdings in Medifast by 30.5% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 776,829 shares of the specialty retailer’s stock worth $8,297,000 after acquiring an additional 181,618 shares during the period. Bank of America Corp DE boosted its position in shares of Medifast by 14.2% during the 3rd quarter. Bank of America Corp DE now owns 452,543 shares of the specialty retailer’s stock valued at $6,186,000 after purchasing an additional 56,174 shares in the last quarter. Lido Advisors LLC bought a new stake in shares of Medifast during the 3rd quarter valued at about $4,521,000. Dimensional Fund Advisors LP grew its stake in Medifast by 9.3% during the fourth quarter. Dimensional Fund Advisors LP now owns 326,240 shares of the specialty retailer’s stock worth $3,484,000 after purchasing an additional 27,871 shares during the period. Finally, Steamboat Capital Partners LLC acquired a new stake in Medifast during the fourth quarter worth approximately $2,952,000. Institutional investors own 95.51% of the company’s stock.

Medifast Company Profile

Medifast, Inc (NYSE: MED) is a health and wellness company specializing in clinically supported weight-loss, weight-management and healthy living products and services. Through its OPTAVIA brand, the company offers a range of meal replacement products, snacks, supplements and coaching programs designed to support metabolic health and sustainable lifestyle changes. Medifast markets its products directly to consumers via a network of independent distributors—known as OPTAVIA Coaches—who provide personalized guidance and support throughout the client’s weight‐loss journey.

Founded in 1980 by William Vitale and headquartered in Baltimore, Maryland, Medifast has grown into a nationally recognized provider of nutrition and weight‐management solutions.