Medifast (MED) Reports Earnings Tomorrow. What To Expect
Wellness company Medifast (NYSE:MED) will be reporting results tomorrow after market hours. Here's what investors should know.
Last quarter Medifast reported revenues of $235.9 million, down 39.6% year on year, beating analyst revenue expectations by 1.6%. It was a very strong quarter for the company, with an impressive beat of analysts' earnings estimates.
Is Medifast buy or sell heading into the earnings? Read our full analysis here, it's free.
This quarter analysts are expecting Medifast's revenue to decline 45.4% year on year to $184.2 million, a further deceleration on the 10.7% year-over-year decrease in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.96 per share.
Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company has a history of exceeding Wall St's expectations, beating revenue estimates every single time over the past two years on average by 5%.
Looking at Medifast's peers in the personal care segment, some of them have already reported Q4 earnings results, giving us a hint of what we can expect. BellRing Brands delivered top-line growth of 18.7% year on year, beating analyst estimates by 5.4% and Coty reported revenues up 13.4% year on year, exceeding estimates by 2.9%. BellRing Brands traded flat on the results, and Coty was down 1.6%.
Read our full analysis of BellRing Brands's results here and Coty's results here.
Investors in the personal care segment have had steady hands going into the earnings, with the stocks up on average 0.6% over the last month. Medifast is down 8.2% during the same time, and is heading into the earnings with analyst price target of $62.5, compared to share price of $49.9.
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