Wellness company Medifast (NYSE:MED) will be reporting results tomorrow after market hours. Here’s what to expect.
Medifast beat analysts’ revenue expectations by 4.2% last quarter, reporting revenues of $119 million, down 37.7% year on year. It was a slower quarter for the company, with revenue guidance for next quarter missing analysts’ expectations and a significant miss of analysts’ EBITDA estimates.
Is Medifast a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Medifast’s revenue to decline 33.4% year on year to $116.4 million, improving from the 49.9% decrease it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.25 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Medifast has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 3.4% on average.
Looking at Medifast’s peers in the consumer staples segment, some have already reported their Q1 results, giving us a hint as to what we can expect. USANA delivered year-on-year revenue growth of 9.5%, beating analysts’ expectations by 2.7%, and Lamb Weston reported revenues up 4.3%, topping estimates by 2.4%. USANA traded up 5.2% following the results, while Lamb Weston was also up 9.1%.
Read our full analysis of USANA’s results here and Lamb Weston’s results here.
The euphoria surrounding Trump’s November win lit a fire under major indices, but potential tariffs have caused the market to do a 180 in 2025. While some of the consumer staples stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 4.2% on average over the last month. Medifast is down 8.5% during the same time and is heading into earnings with an average analyst price target of $15 (compared to the current share price of $12.34).
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