Parsa Kiai Buys 4,329 Shares of Medifast (NYSE:MED) Stock

Key Points

• Director Parsa Kiai bought 4,329 Medifast shares at $12 each, investing $51,948 and increasing his holdings to 665,517 shares. He also purchased more than 72,000 shares in two earlier August transactions.
• Medifast shares traded at $12.31, with a market capitalization of about $137.7 million. The company reported a quarterly loss of $0.28 per share but exceeded analysts’ estimates, while revenue of $76.38 million also topped expectations.
• Analysts maintain a cautious outlook, with a consensus “Reduce” rating and a $12 average price target. Although earnings forecasts have improved, Medifast is still expected to post losses through fiscal 2028.

Medifast Inc (NYSE:MED - Get Free Report) Director Parsa Kiai bought 4,329 shares of the stock in a transaction on Monday, August 24th. The stock was purchased at an average cost of $12.00 per share, for a total transaction of $51,948.00. Following the acquisition, the director owned 665,517 shares of the company's stock, valued at $7,986,204. This trade represents a 0.65% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link.

Parsa Kiai also recently made the following trade(s):

• On Thursday, August 20th, Parsa Kiai purchased 43,150 shares of Medifast stock. The shares were purchased at an average price of $11.60 per share, with a total value of $500,540.00.
• On Wednesday, August 19th, Parsa Kiai purchased 29,337 shares of Medifast stock. The shares were acquired at an average cost of $11.66 per share, with a total value of $342,069.42.

Medifast Stock Performance

Shares of NYSE MED traded up $0.15 during midday trading on Wednesday, hitting $12.31. 68,380 shares of the company's stock traded hands, compared to its average volume of 229,628. The firm has a fifty day moving average of $10.94 and a 200 day moving average of $11.07. Medifast Inc has a 1 year low of $9.22 and a 1 year high of $14.67. The stock has a market capitalization of $137.68 million, a price-to-earnings ratio of -5.30 and a beta of 0.65.

Medifast (NYSE:MED - Get Free Report) last posted its quarterly earnings data on Monday, August 3rd. The specialty retailer reported ($0.28) earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.65) by $0.37. Medifast had a negative net margin of 8.08% and a negative return on equity of 6.69%. The company had revenue of $76.38 million for the quarter, compared to the consensus estimate of $72.70 million. Medifast has set its FY 2026 guidance at -1.750--0.250 EPS and its Q3 2026 guidance at -0.650--0.150 EPS. On average, equities analysts anticipate that Medifast Inc will post -1 earnings per share for the current year.

Institutional Investors Weigh In On Medifast

A number of institutional investors and hedge funds have recently added to or reduced their stakes in MED. Chico Wealth RIA purchased a new position in Medifast during the second quarter valued at approximately $223,000. Ancora Advisors LLC purchased a new stake in Medifast in the 2nd quarter worth $75,000. Empowered Funds LLC purchased a new stake in Medifast in the 2nd quarter worth $701,000. Bank of America Corp DE bought a new stake in Medifast during the second quarter valued at about $924,000. Finally, PDT Partners LLC bought a new stake in Medifast during the second quarter valued at about $348,000. Institutional investors own 95.51% of the company's stock.

Wall Street Analyst Weigh In

MED has been the topic of a number of recent research reports. Weiss Ratings raised Medifast from a "sell (e+)" rating to a "sell (d)" rating in a report on Monday, August 17th. Zacks Research lowered Medifast from a "strong-buy" rating to a "hold" rating in a report on Tuesday, August 11th. Two equities research analysts have rated the stock with a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Medifast has a consensus rating of "Reduce" and an average price target of $12.00.

Key Stories Impacting Medifast

Here are the key news stories impacting Medifast this week:

• Positive Sentiment: Zacks raised its FY2026 EPS estimate to a loss of $1.04 from a loss of $1.97 and improved its Q3 and Q4 2026 forecasts to losses of $0.40 and $0.17 per share, respectively, versus prior estimates of $0.60 and $0.50.
• Positive Sentiment: Longer-term expectations also improved substantially. FY2027 EPS was revised to a loss of $0.47 from $1.89, while FY2028 EPS was revised to a loss of $0.43 from $1.81. These revisions point to a faster potential recovery in Medifast’s earnings.
• Positive Sentiment: Zacks also raised estimates for Q2 2027, Q3 2027, Q4 2027 and Q2 2028, with the largest revision moving Q4 2027 to a loss of $0.08 from $0.48.
• Neutral Sentiment: Despite the improved forecasts, Zacks maintained a Hold rating. The analyst’s current full-year consensus estimate remains a loss of approximately $1.00 per share, indicating that Medifast is still expected to report negative earnings in the near term.
• Negative Sentiment: The revised outlook still calls for losses through FY2028, limiting the fundamental support for a sustained rally. Medifast’s latest reported quarter also showed a net loss and negative margins, despite revenue and EPS exceeding analyst expectations.

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.

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