Medline Inc. Class A Common Stock (MDLN)

FairStock Score: 30/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Medline is the kind of business I understand: it makes and distributes medical-surgical products, with $7.7 billion of revenue in fiscal Q2 2026, the quarter ended 2026-06-27, up from $6.9 billion in fiscal Q2 2025. Scale and hospital relationships can be a real advantage, but the numbers show the economics are not yet wonderful. In fiscal Q2 2026 net income was $139.0 million, or $0.07 per diluted share, well below $329.0 million in fiscal Q2 2025. For fiscal 2024 revenue was $25.5 billion and net income $1.2 billion, against fiscal 2023 revenue of $23.2 billion and net income of $234.0 million. So revenue is growing while recent profit has been uneven and compressed. At the close on 2026-10-26, the $33.69 price gives a FairStock P/E of 42.11 and P/B of 2.55. FairStock's Graham Number is $15.41, which leaves a margin of safety of -121.22%; I would call that expensive, not cheap. The trailing free cash flow is $1.1 billion, a 3.8% FCF yield. FairStock shows ROE of 4.93% and ROCE of 2.46%, low for a quality compounder. Debt/equity is 0.66, and Altman Z-score 1.38 and Piotroski 6/9 suggest only middling financial strength. Medline has scale and revenue momentum, but thin profits, low returns, and a high price relative to earnings and Graham value do not offer a margin of safety. I would want evidence that margins recover before calling it a bargain.

In plain English: Medline makes and supplies medical products used in hospitals and clinics. Sales are growing, but profits have gotten thinner, and the company earns low returns. At $33.69, the price looks expensive compared with its earnings and its assets.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-26 close · note generated 2026-10-28 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-27) · fiscal Q1 2026 10-Q (period ended 2026-03-28) · fiscal Q2 2025 10-Q (period ended 2025-06-28) · fiscal Q1 2025 10-Q (period ended 2025-03-29) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer