Medifast (NYSE:MED) Stock Price Passes Above Two Hundred Day Moving Average - Here's Why

Key Points

• Medifast shares moved above their 200-day moving average, reaching $12.48 before last trading at $12.15, compared with a 200-day average of $11.28.
• Analyst sentiment remains cautious: the stock has a consensus rating of “Reduce” and a $12.00 price target, with two Hold ratings and one Sell rating.
• Medifast exceeded quarterly expectations, reporting a loss of $0.28 per share versus the expected $0.65 loss and revenue of $76.38 million. Insiders purchased nearly 120,000 shares in the latest quarter, while institutional investors own 95.51% of the stock.

Medifast Inc (NYSE:MED - Get Free Report) crossed above its two hundred day moving average during trading on Tuesday . The stock has a two hundred day moving average of $11.28 and traded as high as $12.48. Medifast shares last traded at $12.15, with a volume of 72,553 shares traded.

Analyst Upgrades and Downgrades

MED has been the subject of several research reports. Zacks Research cut Medifast from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, August 11th. Weiss Ratings raised Medifast from a "sell (e+)" rating to a "sell (d)" rating in a research note on Monday, August 17th. Two investment analysts have rated the stock with a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of "Reduce" and a consensus price target of $12.00.

Medifast Stock Performance

The firm has a market cap of $135.84 million, a price-to-earnings ratio of -5.21 and a beta of 0.71. The stock has a 50-day moving average of $11.49 and a 200-day moving average of $11.28.

Medifast (NYSE:MED - Get Free Report) last announced its earnings results on Monday, August 3rd. The specialty retailer reported ($0.28) EPS for the quarter, topping 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 business 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. Sell-side analysts predict that Medifast Inc will post -1.04 EPS for the current fiscal year.

Insider Activity

In related news, Director Parsa Kiai acquired 43,150 shares of the business's stock in a transaction dated Wednesday, August 26th. The stock was bought at an average price of $12.26 per share, with a total value of $529,019.00. Following the acquisition, the director owned 707,492 shares in the company, valued at $8,673,851.92. This represents a 6.50% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. In the last quarter, insiders purchased 119,966 shares of company stock worth $1,423,576. Corporate insiders own 3.70% of the company's stock.

Institutional Investors Weigh In On Medifast

Several hedge funds have recently bought and sold shares of MED. BlackRock Inc. acquired a new stake in shares of Medifast in the second quarter valued at approximately $3,920,000. Dimensional Fund Advisors LP boosted its position in shares of Medifast by 10.9% in the first quarter. Dimensional Fund Advisors LP now owns 361,762 shares of the specialty retailer's stock valued at $3,686,000 after acquiring an additional 35,522 shares during the period. Bank of America Corp DE acquired a new position in shares of Medifast during the 2nd quarter worth approximately $924,000. Empowered Funds LLC increased its holdings in shares of Medifast by 59.9% during the first quarter. Empowered Funds LLC now owns 71,584 shares of the specialty retailer's stock worth $729,000 after purchasing an additional 26,811 shares during the period. Finally, Quantinno Capital Management LP grew its position in Medifast by 15.1% during the first quarter. Quantinno Capital Management LP now owns 56,153 shares of the specialty retailer's stock worth $572,000 after buying an additional 7,346 shares in the last quarter. 95.51% of the stock is currently owned by institutional investors and hedge funds.

Medifast Company Profile

Medifast, Inc NYSE: MED is a health and wellness company that provides weight-management and healthy-lifestyle products and programs. Its principal brand is OPTAVIA, which offers structured plans designed to support weight loss, nutrition, and long-term habit development.

The company's product portfolio includes meal-replacement shakes, bars, snacks, entrees, beverages, supplements, and other packaged “Fuelings.” Medifast also supports customers through independent OPTAVIA Coaches, who provide guidance, accountability, and lifestyle support through the company's direct-selling model.

Founded in 1980, Medifast serves customers primarily in the United States through its e-commerce and direct-to-consumer channels.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.