Medifast (NYSE:MED) Cut to Sell at ValuEngine

ValuEngine downgraded shares of Medifast (NYSE:MED) from a hold rating to a sell rating in a research report released on Tuesday, ValuEngine reports.

Separately, Zacks Investment Research raised HB Fuller from a sell rating to a hold rating in a report on Wednesday, July 3rd.

Medifast stock opened at $113.07 on Tuesday. The firm has a market capitalization of $1.35 billion, a P/E ratio of 24.47 and a beta of 0.75. The stock has a fifty day simple moving average of $130.17. Medifast has a 12 month low of $106.31 and a 12 month high of $260.98.

Medifast (NYSE:MED) last posted its earnings results on Wednesday, May 1st. The specialty retailer reported $1.70 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.52 by $0.18. The company had revenue of $165.88 million for the quarter, compared to analysts’ expectations of $153.48 million. Medifast had a return on equity of 57.73% and a net margin of 11.32%. The firm’s quarterly revenue was up 68.2% compared to the same quarter last year. During the same period last year, the business posted $1.01 earnings per share. As a group, equities analysts forecast that Medifast will post 6.8 EPS for the current fiscal year.

The company also recently announced a quarterly dividend, which will be paid on Wednesday, August 7th. Investors of record on Friday, June 28th will be issued a dividend of $0.75 per share. This represents a $3.00 dividend on an annualized basis and a yield of 2.65%. The ex-dividend date is Thursday, June 27th. Medifast’s payout ratio is currently 64.94%.

In related news, Director Carl E. Sassano sold 850 shares of Medifast stock in a transaction dated Wednesday, May 8th. The stock was sold at an average price of $143.94, for a total transaction of $122,349.00. Following the transaction, the director now directly owns 17,792 shares of the company’s stock, valued at $2,560,980.48. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. 4.00% of the stock is owned by insiders.

A number of institutional investors and hedge funds have recently modified their holdings of MED. Globeflex Capital L P purchased a new position in Medifast during the 1st quarter valued at about $896,000. Mason Street Advisors LLC grew its stake in Medifast by 2.6% during the 1st quarter. Mason Street Advisors LLC now owns 3,812 shares of the specialty retailer’s stock valued at $486,000 after acquiring an additional 96 shares in the last quarter. Municipal Employees Retirement System of Michigan purchased a new position in Medifast during the 4th quarter valued at about $433,000. Norges Bank purchased a new position in Medifast during the 4th quarter valued at about $10,153,000. Finally, American Century Companies Inc. grew its stake in Medifast by 2.0% during the 4th quarter. American Century Companies Inc. now owns 138,440 shares of the specialty retailer’s stock valued at $17,308,000 after acquiring an additional 2,663 shares in the last quarter. 99.38% of the stock is currently owned by hedge funds and other institutional investors.

Medifast Company Profile

Medifast, Inc, through its subsidiaries, manufactures and distributes weight loss, weight management, healthy living products, and other consumable health and nutritional products. It offers bars, bites, pretzels, puffs, oatmeal and cereal crunch products, drinks, hearty choices, pancakes, puddings, soft serves, shakes, smoothies, soft bakes, and soups under the Medifast, OPTAVIA, Thrive by Medifast, Optimal Health by OPTAVIA, Flavors of Home, and Essential 1 brands.

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