Medifast (NYSE:MED) Stock Crosses Above 200 Day Moving Average - Time to Sell?

Key Points

• Medifast shares crossed above their 200-day moving average, trading as high as $12.66 versus the $11.15 average, and last changing hands at $12.6250.
• Analysts remain cautious: two rate the stock Hold and one rates it Sell, producing a consensus rating of “Reduce” and an average price target of $12.00.
• Recent results exceeded expectations, with quarterly revenue of $76.38 million and EPS of negative $0.28, while insiders bought nearly 120,000 shares over the past quarter. However, the company remains unprofitable and expects negative earnings for fiscal 2026.

Medifast Inc (NYSE:MED - Get Free Report)'s share price passed above its two hundred day moving average during trading on Friday . The stock has a two hundred day moving average of $11.15 and traded as high as $12.66. Medifast shares last traded at $12.6250, with a volume of 54,712 shares changing hands.

Analyst Ratings Changes

Several research firms have issued reports on MED. Zacks Research downgraded Medifast from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, August 11th. Weiss Ratings upgraded Medifast from a "sell (e+)" rating to a "sell (d)" rating in a research report on Monday, August 17th. Two equities research analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Reduce" and an average price target of $12.00.

Medifast Price Performance

The stock has a market capitalization of $141.15 million, a PE ratio of -5.42 and a beta of 0.71. The business's fifty day moving average price is $11.19 and its 200-day moving average price is $11.15.

Medifast (NYSE:MED - Get Free Report) last issued its quarterly earnings data on Monday, August 3rd. The specialty retailer reported ($0.28) EPS for the quarter, beating the consensus estimate 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 during the quarter, compared to analysts' expectations 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, analysts expect that Medifast Inc will post -1.04 earnings per share for the current fiscal year.

Insider Buying and Selling at Medifast

In other Medifast news, Director Parsa Kiai acquired 43,150 shares of the stock in a transaction that occurred on Wednesday, August 26th. The shares were bought at an average price of $12.26 per share, for a total transaction of $529,019.00. Following the completion of the transaction, the director owned 707,492 shares of the company's stock, valued at approximately $8,673,851.92. This represents a 6.50% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Insiders have acquired a total of 119,966 shares of company stock valued at $1,423,576 over the last quarter. Corporate insiders own 3.70% of the company's stock.

Institutional Trading of Medifast

Institutional investors and hedge funds have recently modified their holdings of the business. BNP Paribas Financial Markets grew its holdings in shares of Medifast by 103.1% during the third quarter. BNP Paribas Financial Markets now owns 2,338 shares of the specialty retailer's stock worth $32,000 after purchasing an additional 1,187 shares in the last quarter. Quantbot Technologies LP purchased a new stake in Medifast in the third quarter valued at approximately $37,000. Intesa Sanpaolo Wealth Management bought a new stake in Medifast during the fourth quarter valued at approximately $47,000. State of Wyoming bought a new stake in Medifast during the fourth quarter valued at approximately $59,000. Finally, Ancora Advisors LLC purchased a new position in Medifast in the 2nd quarter worth approximately $75,000. Hedge funds and other 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.

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