Medifast (NYSE:MED) Issues Quarterly Earnings Results

Medifast (NYSE:MED) posted its quarterly earnings results on Tuesday. The specialty retailer reported ($0.55) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.76) by $0.21, Zacks reports. Medifast had a negative return on equity of 0.89% and a net margin of 0.06%.The firm had revenue of $75.10 million for the quarter, compared to analysts’ expectations of $71.40 million. Medifast updated its FY 2026 guidance to -2.750–1.55 EPS and its Q1 2026 guidance to -0.700–0.15 EPS.

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

• CEO Dan Chard will step down as CEO effective June 1, 2026 and remain chairman, with President Nick Johnson expected to assume the CEO role — the company describes this as a planned, internal succession.
• Medifast is repositioning as a metabolic health company centered on its “Metabolic Synchronization” science, citing a 16-week study showing a 14% reduction in visceral fat and 98% preservation of lean mass, and plans a new product line targeted for launch in Q4 2026.
• Early operational signs include coach productivity turning positive (revenue per active earning coach +6% YoY, highest since Q3 2024) and increased coach-led meetings and referrals; management expects these trends to drive future client acquisition and coach growth.
• Near-term financials remain pressured: Q4 revenue fell 36.9% to $75.1M and active earning coaches declined 40.6% (to ~16,100), producing a Q4 net loss of $18.1M ($1.65 per share) that included a $12.1M non‑cash deferred tax valuation allowance, though the company ended the year with $167.3M cash and no debt and announced >$30M of targeted cost savings.

Medifast Stock Performance

Shares of MED opened at $10.54 on Wednesday. The stock has a market capitalization of $115.87 million, a PE ratio of 1,028.40 and a beta of 0.53. The company’s fifty day moving average is $11.35 and its 200 day moving average is $12.32. Medifast has a fifty-two week low of $10.10 and a fifty-two week high of $15.95.

Analyst Upgrades and Downgrades

Several research firms have commented on MED. Wall Street Zen raised shares of Medifast from a “sell” rating to a “hold” rating in a report on Saturday, December 6th. Weiss Ratings reiterated a “sell (d)” rating on shares of Medifast in a report on Thursday, January 22nd. One equities research analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Reduce” and a consensus target price of $16.50.

Institutional Trading of Medifast

Several institutional investors and hedge funds have recently modified their holdings of MED. Lido Advisors LLC purchased a new stake in Medifast in the 3rd quarter worth approximately $4,521,000. Steamboat Capital Partners LLC purchased a new stake in shares of Medifast during the fourth quarter worth approximately $2,952,000. Charles Schwab Investment Management Inc. lifted its holdings in Medifast by 30.5% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 776,829 shares of the specialty retailer’s stock valued at $8,297,000 after purchasing an additional 181,618 shares in the last quarter. Bank of America Corp DE grew its stake in Medifast by 37.4% during the 2nd quarter. Bank of America Corp DE now owns 396,369 shares of the specialty retailer’s stock valued at $5,569,000 after acquiring an additional 107,854 shares in the last quarter. Finally, Victory Capital Management Inc. purchased a new position in shares of Medifast during the 3rd quarter worth $867,000. Institutional investors own 95.51% of the company’s stock.

More Medifast News

Here are the key news stories impacting Medifast this week:

• Positive Sentiment: Q4 revenue and adjusted EPS beat consensus — Medifast reported Q4 revenue of $75.1M and an adjusted EPS outcome that beat Street estimates (company-reported EPS of -$0.55 vs. consensus around -$0.76), giving a near-term operational data point that outperformed expectations. Medifast Announces Fourth Quarter and Full Year 2025 Financial Results
• Neutral Sentiment: Company highlights strategic reset and leadership change — management outlined a focus on metabolic-health positioning and a CEO transition while setting a 2026 revenue target of $270M–$300M; this signals strategic intent but introduces execution risk until the new leadership proves results. Medifast outlines $270M–$300M 2026 revenue target as CEO transition and metabolic health focus drive execution
• Negative Sentiment: Guidance materially below Street expectations — Medifast cut Q1 2026 EPS guidance to -$0.70 to -$0.15 (consensus ~ -$0.26) and FY 2026 EPS to -$2.75 to -$1.55 with revenue guidance $270M–$300M versus consensus near $355M, a clear negative for near- and full-year investor expectations. Medifast earnings / guidance details
• Negative Sentiment: GAAP results show a widening net loss and margin pressure — filings/coverage show a larger GAAP net loss (reported ~$18.1M for Q4) and operating profit deterioration; some outlets report a larger diluted EPS impact after one-time items, underscoring near-term profitability challenges. Medifast (MED) Releases Q4 2025 Earnings: Revenue Slight Beat but Deepening Net Loss and EPS Miss
• Negative Sentiment: Institutional positioning and cash trends add caution — recent filings show mixed hedge-fund moves (large blocks trimmed by several institutions) and cash burn/operating use of cash in the quarter, which investors may view as an additional headwind while the business reshapes. QuiverQuant institutional activity and financials

About Medifast

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.