Medline (NASDAQ:MDLN) Shares Gap Down Following Weak Earnings

Shares of Medline (NASDAQ:MDLN) gapped down prior to trading on Wednesday following a dissappointing earnings announcement. The stock had previously closed at $49.99, but opened at $47.38. Medline shares last traded at $50.06, with a volume of 1,165,067 shares trading hands.

The company reported ($0.01) earnings per share for the quarter, missing analysts’ consensus estimates of $0.24 by ($0.25). The company had revenue of $7.79 billion for the quarter, compared to the consensus estimate of $7.52 billion. The firm’s revenue for the quarter was up 14.8% compared to the same quarter last year.

More Medline News

Here are the key news stories impacting Medline this week:

• Positive Sentiment: Multiple major firms raised price targets and ratings following Q4 — Citigroup to $60 (buy), UBS to $57 (buy), BMO to $54 (outperform) and RBC to $53 (outperform). These upgrades signal renewed analyst conviction and likely support near‑term buying interest.
• Positive Sentiment: Q4 revenue beat and strong growth: Medline reported Q4 net sales of ~$7.8B (up 14.8% YoY) and full‑year net sales of $28.4B, driven by new customer signings — a validation of the company’s scale and demand. Medline Reports Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Management issued 2026 guidance calling for Organic Sales growth of 8–9% and Adjusted EBITDA of $3.5–$3.6B, which supports a positive growth narrative despite near‑term margin headwinds. Medline Reports Fourth Quarter and Full Year 2025 Results
• Neutral Sentiment: Analyst coverage roundup and notes on upgraded forecasts after Q4 provide context for the rating moves but aggregate guidance and assumptions vary by shop. Medline Analysts Boost Their Forecasts Following Q4 Results
• Neutral Sentiment: Earnings call and transcript are available for detailed read‑throughs of management’s commentary on customer wins, supply‑chain actions and cost drivers. Medline Inc. (MDLN) Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Valuation pieces are appearing as shares move; some note momentum but also emphasize the need to weigh price against near‑term margin pressure. Assessing Medline (MDLN) Valuation After Recent Share Price Momentum
• Negative Sentiment: Earnings per share missed consensus — reported ($0.01) vs. street ~$0.24 — driven by higher cost of goods sold, tariffs and IPO-related expenses; this explains some investor caution on near‑term profitability. Medline Q4 Press Release / Financial Tables
• Negative Sentiment: Net income and adjusted margins were down (Q4 net income -37.7% YoY; Adjusted EBITDA roughly flat) and management cited tariff, inventory and investment costs — risks that could compress margins if cost pressures persist. Quiver Quant Summary

Wall Street Analysts Forecast Growth

MDLN has been the subject of several research analyst reports. Wells Fargo & Company assumed coverage on Medline in a report on Monday, January 12th. They issued an “equal weight” rating and a $42.00 price objective for the company. Jefferies Financial Group assumed coverage on shares of Medline in a report on Monday, January 12th. They set a “buy” rating and a $50.00 price target on the stock. Wall Street Zen raised shares of Medline to a “hold” rating in a report on Saturday, January 10th. Royal Bank Of Canada raised their target price on shares of Medline from $47.00 to $53.00 and gave the stock an “outperform” rating in a report on Thursday. Finally, BTIG Research reaffirmed a “buy” rating and issued a $55.00 target price (up from $50.00) on shares of Medline in a research report on Wednesday, January 21st. Two research analysts have rated the stock with a Strong Buy rating, twenty-one have assigned a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $50.15.

Insider Buying and Selling at Medline

In other news, Director Andrew J. Mills purchased 2,586,206 shares of the company’s stock in a transaction on Thursday, December 18th. The stock was acquired at an average cost of $29.00 per share, for a total transaction of $74,999,974.00. Following the completion of the transaction, the director directly owned 2,586,206 shares in the company, valued at $74,999,974. This trade represents a ∞ increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, major shareholder Hellman & Friedman Capital Par sold 6,088,371 shares of the firm’s stock in a transaction on Thursday, December 18th. The shares were sold at an average price of $28.37, for a total transaction of $172,727,085.27. Following the sale, the insider owned 4,806,160 shares in the company, valued at $136,350,759.20. The trade was a 55.88% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing.

Institutional Trading of Medline

Several institutional investors have recently made changes to their positions in the business. Fjarde AP Fonden Fourth Swedish National Pension Fund bought a new position in Medline in the 4th quarter worth approximately $1,890,000. North Star Investment Management Corp. purchased a new position in shares of Medline in the fourth quarter worth $36,000. Chung Wu Investment Group LLC bought a new position in shares of Medline during the fourth quarter worth $155,000. Vanguard Group Inc. purchased a new position in Medline during the fourth quarter valued at $793,278,000. Finally, Mitsubishi UFJ Trust & Banking Corp bought a new stake in Medline in the 4th quarter valued at $4,593,000.

Medline Trading Up 1.5%

The stock has a 50 day simple moving average of $44.40.

About Medline

Medline (NASDAQ: MDLN) is a healthcare products and services company that manufactures, sources and distributes a wide range of medical supplies and equipment for healthcare providers. Its product portfolio spans clinical consumables and personal protective equipment, surgical and procedural supplies, wound care and incontinence products, diagnostic and laboratory supplies, and select durable medical equipment. Medline supports care settings that include hospitals, health systems, long-term care facilities, ambulatory clinics and home health providers.

In addition to product manufacturing and distribution, Medline provides supply‑chain and logistics services designed to help healthcare customers manage inventory, reduce costs and streamline operations.