LifeMD’s Strong Financial Performance and Strategic Initiatives Justify Buy Rating

Analyst Yi Chen from H.C. Wainwright reiterated a Buy rating on LifeMD (LFMD – Research Report) and keeping the price target at $14.00.

Yi Chen has given his Buy rating due to a combination of factors including LifeMD’s strong financial performance and strategic initiatives. The company reported impressive first-quarter results for 2025, with a significant year-over-year revenue increase of 49%, surpassing expectations. The telehealth segment, in particular, showed robust growth with a 70% increase in revenue, and the active subscriber base expanded by 22%. These positive financial metrics have led to an upward revision in the company’s revenue guidance for the year.
Additionally, LifeMD’s strategic partnerships to offer affordable access to medications like Wegovy and Zepbound are expected to attract more subscribers to its platform, further boosting revenue. The company is also generating positive operating cash flows, which strengthens its financial position. The valuation analysis, using comparative metrics, supports a price target of $14, indicating potential upside. Despite some risks such as competition and patient acquisition challenges, the overall outlook remains favorable, justifying the Buy rating.

In another report released on April 28, Lake Street also maintained a Buy rating on the stock with a $12.00 price target.

Based on the recent corporate insider activity of 29 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of LFMD in relation to earlier this year.