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Medifast (MED) Readies for Q2 Earnings: What's in the Cards?
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Medifast, Inc. (MED - Free Report) is likely to register top-line growth when it reports second-quarter 2022 earnings on Aug 3. The Zacks Consensus Estimate for quarterly revenues is pegged at $462.6 million, suggesting a rise of 17.4% from the prior-year quarter’s reported figure.
The Zacks Consensus Estimate for quarterly earnings has remained unchanged in the past 30 days at $3.28 per share, suggesting a drop of 17.2% from the figure reported in the prior-year quarter. This weight loss, weight management and healthy living products company has a trailing four-quarter earnings surprise of 12.9%, on average. MED delivered an earnings surprise of 0.8% in the last reported quarter.
Medifast has been benefiting from strength in its OPTAVIA lifestyle solution and coaching support system. OPTAVIA follows a holistic approach by focusing on the six key areas of a human being, namely weight, eating and hydration, motion, sleep, mind and surroundings. Further, OPTAVIA combines scientifically proven programs, effective products and guidance from its coaches to help consumers lead a healthier lifestyle. We note that consumers’ increased inclination toward health, together with a solid OPTAVIA coach-based model, has been helping Medifast draw new clients.
Medifast has been undertaking many measures to drive growth. It is focused on optimizing and increasing capacity by strengthening its network of co-manufacturers. Apart from this, MED is focused on making technological investments, as part of which it opened a new technology center in Utah in 2020 beginning. We note that OPTAVIA Coaches have been focused on utilizing technology, including the company’s app-based platforms, along with social media channels and field-led training platforms.
That said, Medifast has been seeing high SG&A expenses for a while now, mainly due to higher OPTAVIA commission costs. Also, increased product and shipping costs stemming from inflation in raw ingredient costs and freight and labor expenses are a concern. On its first-quarter 2022 earnings call, management stated that it expects short-term margin pressure due to inflation and other external factors. It also expects pressure from continued investments related to technology and supply-chain infrastructure.
What the Zacks Model Unveils
Our proven model doesn’t conclusively predict an earnings beat for Medifast this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here.
Medifast carries a Zacks Rank #3 and has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks With the Favorable Combination
Here are some companies you may want to consider as our model shows that these have the right combination of elements to post an earnings beat.
Corteva (CTVA - Free Report) currently has an Earnings ESP of +0.20% and a Zacks Rank of 1. The company is likely to register an increase in the bottom line when it reports second-quarter 2022 results. The Zacks Consensus Estimate for quarterly earnings has risen by a penny over the past seven days to $1.47 per share in the past 30 days. The consensus mark for CTVA’s earnings suggests 5% growth from the year-ago quarter’s reported number. You can see the complete list of today’s Zacks #1 Rank stocks here.
Corteva’s top line is expected to rise year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $6.2 billion, which suggests a rise of 9.8% from the figure reported in the prior-year quarter. CTVA delivered an earnings beat of 22.3%, on average, in the trailing four quarters.
Kellogg (K - Free Report) currently has an Earnings ESP of +2.01% and a Zacks Rank of 3. The company is likely to register an increase in the top line when it reports second-quarter 2022 results. The Zacks Consensus Estimate for quarterly revenues is pegged at $3.7 billion, which suggests a rise of 2.6% from the figure reported in the prior-year quarter.
The Zacks Consensus Estimate for K’s quarterly earnings has remained unchanged in the past 30 days at $1.05 per share. The consensus mark indicates a 7.9% decline from the year-ago quarter’s reported number. Kellogg delivered an earnings beat of 12.8%, on average, in the trailing four quarters.
Tyson Foods (TSN - Free Report) currently has an Earnings ESP of +5.71% and a Zacks Rank of 3. The company is likely to register a rise in the top line when it reports third-quarter fiscal 2022 results. The Zacks Consensus Estimate for TSN’s quarterly revenues is pegged at $13.4 billion, which suggests a jump of 7% from the figure reported in the prior-year quarter.
The consensus mark for Tyson Foods’ quarterly earnings has moved down from $1.92 to $1.88 per share in the past 30 days. The consensus estimate for TSN’s third-quarter earnings suggests a decline of 30.4% from the year-ago quarter’s reported figure. Tyson Foods delivered an earnings beat of 33.3%, on average, in the trailing four quarters.
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Medifast (MED) Readies for Q2 Earnings: What's in the Cards?
Medifast, Inc. (MED - Free Report) is likely to register top-line growth when it reports second-quarter 2022 earnings on Aug 3. The Zacks Consensus Estimate for quarterly revenues is pegged at $462.6 million, suggesting a rise of 17.4% from the prior-year quarter’s reported figure.
The Zacks Consensus Estimate for quarterly earnings has remained unchanged in the past 30 days at $3.28 per share, suggesting a drop of 17.2% from the figure reported in the prior-year quarter. This weight loss, weight management and healthy living products company has a trailing four-quarter earnings surprise of 12.9%, on average. MED delivered an earnings surprise of 0.8% in the last reported quarter.
MEDIFAST INC Price, Consensus and EPS Surprise
MEDIFAST INC price-consensus-eps-surprise-chart | MEDIFAST INC Quote
Factors to Note
Medifast has been benefiting from strength in its OPTAVIA lifestyle solution and coaching support system. OPTAVIA follows a holistic approach by focusing on the six key areas of a human being, namely weight, eating and hydration, motion, sleep, mind and surroundings. Further, OPTAVIA combines scientifically proven programs, effective products and guidance from its coaches to help consumers lead a healthier lifestyle. We note that consumers’ increased inclination toward health, together with a solid OPTAVIA coach-based model, has been helping Medifast draw new clients.
Medifast has been undertaking many measures to drive growth. It is focused on optimizing and increasing capacity by strengthening its network of co-manufacturers. Apart from this, MED is focused on making technological investments, as part of which it opened a new technology center in Utah in 2020 beginning. We note that OPTAVIA Coaches have been focused on utilizing technology, including the company’s app-based platforms, along with social media channels and field-led training platforms.
That said, Medifast has been seeing high SG&A expenses for a while now, mainly due to higher OPTAVIA commission costs. Also, increased product and shipping costs stemming from inflation in raw ingredient costs and freight and labor expenses are a concern. On its first-quarter 2022 earnings call, management stated that it expects short-term margin pressure due to inflation and other external factors. It also expects pressure from continued investments related to technology and supply-chain infrastructure.
What the Zacks Model Unveils
Our proven model doesn’t conclusively predict an earnings beat for Medifast this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here.
Medifast carries a Zacks Rank #3 and has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks With the Favorable Combination
Here are some companies you may want to consider as our model shows that these have the right combination of elements to post an earnings beat.
Corteva (CTVA - Free Report) currently has an Earnings ESP of +0.20% and a Zacks Rank of 1. The company is likely to register an increase in the bottom line when it reports second-quarter 2022 results. The Zacks Consensus Estimate for quarterly earnings has risen by a penny over the past seven days to $1.47 per share in the past 30 days. The consensus mark for CTVA’s earnings suggests 5% growth from the year-ago quarter’s reported number. You can see the complete list of today’s Zacks #1 Rank stocks here.
Corteva’s top line is expected to rise year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $6.2 billion, which suggests a rise of 9.8% from the figure reported in the prior-year quarter. CTVA delivered an earnings beat of 22.3%, on average, in the trailing four quarters.
Kellogg (K - Free Report) currently has an Earnings ESP of +2.01% and a Zacks Rank of 3. The company is likely to register an increase in the top line when it reports second-quarter 2022 results. The Zacks Consensus Estimate for quarterly revenues is pegged at $3.7 billion, which suggests a rise of 2.6% from the figure reported in the prior-year quarter.
The Zacks Consensus Estimate for K’s quarterly earnings has remained unchanged in the past 30 days at $1.05 per share. The consensus mark indicates a 7.9% decline from the year-ago quarter’s reported number. Kellogg delivered an earnings beat of 12.8%, on average, in the trailing four quarters.
Tyson Foods (TSN - Free Report) currently has an Earnings ESP of +5.71% and a Zacks Rank of 3. The company is likely to register a rise in the top line when it reports third-quarter fiscal 2022 results. The Zacks Consensus Estimate for TSN’s quarterly revenues is pegged at $13.4 billion, which suggests a jump of 7% from the figure reported in the prior-year quarter.
The consensus mark for Tyson Foods’ quarterly earnings has moved down from $1.92 to $1.88 per share in the past 30 days. The consensus estimate for TSN’s third-quarter earnings suggests a decline of 30.4% from the year-ago quarter’s reported figure. Tyson Foods delivered an earnings beat of 33.3%, on average, in the trailing four quarters.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.