LifeMD (LFMD) AI Stock Analysis

• Market Cap: $211.08M
• Dividend Yield: N/A
• Average Volume (3M): 1.19M
• Price to Earnings (P/E): 10.7
• Beta (1Y): 1.27
• Revenue Growth: 30.71%
• EPS Growth: 73.43%
• Country: US
• Employees: 304
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Pharmaceuticals
• EPS (TTM): 0.41
• Shares Outstanding: 47,973,843
• 10 Day Avg. Volume: 1,860,207
• 30 Day Avg. Volume: 1,189,036
• PEG Ratio: -0.07
• Price to Book (P/B): 6.65
• Price to Sales (P/S): 0.79
• P/FCF Ratio: 24.01
• Enterprise Value/Market Cap: 0.87
• Enterprise Value/Revenue: 0.94
• Enterprise Value/Gross Profit: 1.18
• Enterprise Value/Ebitda: -507.32
• 1Y Price Target: $8.67
• Price Target Upside: 211.75% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): -0.17
• Revenue Forecast (FY): $223.31M

• Rating: 61 Neutral
• Price Target: $4.50 ▲(61.87% Upside)
• Action: Reiterated Date: 03/17/26
• Date: Action: Reiterated 03/17/26

The score is held back primarily by uneven financial quality (2025 revenue decline, still-negative operating profitability, and volatile/free-cash-flow step-down), despite strong gross margins and a healthier balance sheet. Technicals are supportive in the intermediate term (price above key shorter moving averages and positive MACD), valuation appears reasonable on P/E, and earnings-call guidance/initiatives are constructive but tempered by competitive and margin/revision risks.

Positive Factors

Very high gross margins

Sustained gross margins near 85–89% indicate a scalable telehealth model with low incremental clinical fulfillment costs. Over months this supports reinvestment in customer acquisition and product development, cushions profitability through revenue swings, and provides structural margin headroom versus many peers.

Improved balance sheet and liquidity

A clean balance sheet and multi‑million cash position reduce refinancing and solvency risk, giving durable financial flexibility. This supports sustained investment in platform scale, pharmacy build‑out and marketing, and provides a buffer to absorb operational volatility over the next 2–6 months.

Strategic pharma partnerships and pharmacy approval

Collaborations with major pharma plus 503‑A compounding pharmacy approval create structural advantages: broader branded therapy access, vertical fulfillment capabilities, and potential margin capture. These moves improve patient retention, expand addressable offerings, and strengthen long‑term competitive positioning.

Negative Factors

Material 2025 revenue contraction

A sharp revenue decline signals demand and execution challenges that materially reduce operating leverage. Persistent top‑line volatility undermines planning, makes margin improvement harder to sustain, and increases the risk that reinvestment (marketing/pharmacy scale) will not translate into predictable growth.

Weak operating profitability and cash conversion

Despite strong gross margins, negative operating income and an ~88% FCF drop show poor conversion to durable cash generation. This constrains self‑funding of growth and raises reliance on external capital or the new credit facility, increasing execution and covenant risk over the medium term.

Competitive pressure in weight‑management

Low‑cost compounded GLP‑1 competition and pricing dynamics in weight management threaten revenue mix and pricing power in a core category. Sustained price pressure forces higher acquisition spend and can compress realized margins and retention, hurting long‑term unit economics.

LifeMD Business Overview & Revenue Model

Company Description

LifeMD, Inc. operates as a direct-to-patient telehealth company that connects consumers to healthcare professionals for care across various indications, including concierge care, men's sexual health, dermatology, and others in the United States. The company provides ShapiroMD, a telehealth platform brand that offers access to virtual medical treatment, prescription medications, patented-doctor formulated OTC products, and an FDA approved medical device for male and female hair loss, and female specific topical compounded medications for hair loss; RexMD, a men's telehealth brand that offers virtual medical treatment from licensed providers for a variety of men's health needs; LifeMD Primary Care, a personalized subscription-based virtual primary care platform that provides patients with primary care, urgent care, and chronic care needs, as well as .offers a mobile first platform that incorporates virtual consultations and treatment, prescription medications, diagnostics, and imaging; Cleared, a telehealth brand that provides personalized treatments for allergy, asthma, and immunology; and Nava MD, a female-oriented tele-dermatology and skincare brand that offers virtual medical treatment from dermatologists and other providers. It also offers PDFSimpli, an online software-as-a-service platform that allows users to create, edit, convert, sign, and share PDF documents. LifeMD sells its products directly to consumers and through e-commerce platforms, as well as through third party partner channels. The company was formerly known as Conversion Labs, Inc. and changed its name to LifeMD, Inc. in February 2021. LifeMD, Inc. was founded in 1994 and is headquartered in New York, New York.

How the Company Makes Money

LifeMD primarily generates revenue from telehealth services sold directly to consumers. Key revenue streams typically include: (1) patient fees for virtual medical visits/consultations; (2) recurring subscriptions or membership fees for ongoing care programs (where offered) that bundle access to clinicians, follow-up care, and care coordination; and (3) revenue associated with prescribed treatment programs, which can include program/service fees and, where structured and permitted, economics linked to medication fulfillment via third-party pharmacy partners (e.g., service/administrative fees or other contractual arrangements). The company’s earnings are influenced by its ability to acquire and retain patients through digital marketing and its network of clinical providers and pharmacy/fulfillment relationships; specific material partnerships or exact revenue mix by stream: null.

LifeMD Financial Statement Overview

Summary

Profitability is improving (net margin turned positive in 2025 and gross margins remain very strong), but 2025 revenue contracted materially and operating profitability is still negative. Balance sheet leverage is modest with recovered positive equity, yet historical balance-sheet swings and sharply lower 2025 free cash flow versus 2024 reduce confidence in stability.

Income Statement

Revenue scaled materially from 2020 to 2025, but the latest year (2025) shows a meaningful revenue contraction (-23.1%), which raises demand and growth-sustainability questions. Profitability is improving: net margin turned positive in 2025 (~5.8%) after multi-year losses, and gross margins remain very strong (~85–89%)—a clear strength. However, operating profitability is still pressured with negative EBIT/EBITDA in 2025, suggesting the business has not fully converted strong gross profits into consistent operating earnings.

Balance Sheet

Leverage looks manageable in 2025 with low absolute debt (~$6.3M) and moderate debt-to-equity (~0.27), an improvement from prior years that included elevated leverage and even negative equity (2022 and 2024). Total assets are steady (~$70M), and equity recovered to a positive ~$23.2M in 2025, which is constructive. The key weakness is balance-sheet volatility across years (swinging equity levels and leverage), implying the capital structure has been less stable than typical for the sector.

Cash Flow

Cash generation improved versus earlier years, with positive operating cash flow and free cash flow in 2025 (~$2.1M each). That said, cash flow weakened sharply year-over-year: free cash flow fell ~88% in 2025 versus 2024, and operating cash flow is relatively small versus reported earnings (low cash conversion in 2025). 2024 showed stronger operating cash flow (~$17.5M) but only modest free cash flow (~$6.0M), pointing to variability and less consistent cash production.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	194.06M	212.45M	152.55M	119.03M	92.88M
Gross Profit	154.76M	188.39M	133.65M	100.37M	74.88M
EBITDA	-361.24K	-6.65M	-7.89M	-38.60M	-53.95M
Net Income	14.35M	-18.88M	-20.60M	-45.54M	-60.90M
Balance Sheet
Total Assets	70.41M	72.46M	58.48M	25.67M	49.92M
Cash, Cash Equivalents and Short-Term Investments	36.79M	35.00M	33.15M	3.96M	41.33M
Total Debt	6.32M	25.10M	18.93M	4.13M	1.85M
Total Liabilities	47.25M	76.51M	52.91M	32.97M	24.10M
Stockholders Equity	23.16M	-5.49M	3.51M	-6.83M	26.85M
Cash Flow
Free Cash Flow	6.41M	5.98M	86.95K	-35.83M	-36.49M
Operating Cash Flow	8.28M	17.51M	8.82M	-22.94M	-33.09M
Investing Cash Flow	6.91M	-11.54M	-8.73M	-13.91M	-3.40M
Financing Cash Flow	-13.41M	-4.12M	29.10M	-528.20K	68.64M

LifeMD Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.78
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LFMD, the sentiment is Positive. The current price of 2.78 is below the 20-day moving average (MA) of 3.17, below the 50-day MA of 3.36, and below the 200-day MA of 6.47, indicating a neutral trend. The MACD of 0.24 indicates Negative momentum. The RSI at 74.40 is Negative, neither overbought nor oversold. The STOCH value of 71.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LFMD.

LifeMD Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LFMD	61 Neutral	$211.08M	10.72	282.01%	―	30.71%	73.43%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
YI	48 Neutral	$58.52M	-5.44	10.54%	―	-7.46%	73.05%
PETS	41 Neutral	$52.22M	-1.59	-122.10%	―	-24.81%	-5344.15%

LifeMD Corporate Events

LifeMD Issues 2026 Outlook Amid Strong 2025 Growth

LifeMD reported that for 2025 its revenue rose 25% to $194.1 million and adjusted EBITDA surged 309% to $15.3 million, while fourth-quarter revenue grew 4% to $46.9 million and adjusted EBITDA climbed 348% to $4.8 million. The company ended 2025 with $36.8 million in cash and no debt, launched oral Wegovy after year-end amid record GLP-1 weight-management sign-ups, expanded women’s and men’s health offerings, and issued 2026 guidance that anticipates double-digit revenue growth but front-loaded GLP-1 acquisition spending temporarily pressuring early-year profitability before EBITDA improves later in 2026.

LifeMD, Inc., based in New York and listed on Nasdaq as LFMD, is a provider of virtual primary care and specialty telehealth services, including weight management, men’s health under the Rex MD brand, and women’s health focused on menopause, hormonal and bone health. The company operates a 50-state medical benefits infrastructure, affiliated provider network and national pharmacy operation, targeting both self-pay and insurance-covered patients in the U.S. digital health market.

The most recent analyst rating on (LFMD) stock is a Buy with a $8.00 price target. To see the full list of analyst forecasts on LifeMD stock, see the LFMD Stock Forecast page.

LifeMD Secures New Revolving Credit Facility for Growth

On January 2, 2026, LifeMD, Inc. entered into a senior secured revolving credit agreement with Citizens Bank, N.A. that provides a committed $30 million credit facility, with an accordion option to increase total availability to $50 million, maturing on January 2, 2029. The facility, which carries no upfront fee, is priced on a leverage-based grid using either Term SOFR plus 1.50%–2.25% or an Alternate Base Rate plus 0.50%–1.25%, with commitment fees of 0.225%–0.30% on unused amounts, and is backed by pledge, security and guarantee agreements from LifeMD and its subsidiaries. As of the January 2, 2026 closing, LifeMD had not drawn on the facility, indicating that existing cash and expected cash flow are currently sufficient to fund organic growth, while the new revolving line enhances the company’s financial flexibility for potential corporate development and shareholder value initiatives and subjects it to leverage and interest coverage covenants that will help shape its capital structure and growth strategy going forward.

The most recent analyst rating on (LFMD) stock is a Buy with a $9.00 price target. To see the full list of analyst forecasts on LifeMD stock, see the LFMD Stock Forecast page.