Pediatrix Medical Group (NYSE:MD) Shares Gap Down Following Weak Earnings

Pediatrix Medical Group, Inc. (NYSE:MD) gapped down before the market opened on Thursday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $21.97, but opened at $18.84. Pediatrix Medical Group shares last traded at $19.5790, with a volume of 495,787 shares changing hands.

The company reported $0.50 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.53 by ($0.03). The company had revenue of $493.77 million for the quarter, compared to the consensus estimate of $486.23 million. Pediatrix Medical Group had a net margin of 8.64% and a return on equity of 19.59%. The company’s revenue for the quarter was down 1.7% compared to the same quarter last year. During the same period last year, the firm posted $0.51 earnings per share.

Key Stories Impacting Pediatrix Medical Group

Here are the key news stories impacting Pediatrix Medical Group this week:

• Positive Sentiment: Management flagged declining costs and a stronger 2026 EBITDA outlook, which could support margin expansion and earnings recovery. Pediatrix Medical Q4 Earnings Miss Estimates Despite Declining Costs
• Positive Sentiment: Revenue topped consensus and same-unit gains plus resilient pricing and payer mix offset volume weakness, indicating underlying operational resilience. Pediatrix Medical Group’s (NYSE:MD) Q4 CY2025 beats on revenue
• Neutral Sentiment: Earnings call and full transcripts are available for review — useful for investors who want detail on patient volumes, payer trends and timing of margin benefits. Pediatrix Medical Group, Inc. (MD) Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Analyst coverage and call highlights emphasize a steady margin focus — this is constructive but depends on execution and volume recovery. Pediatrix Medical Earnings Call Highlights Steady Margin Focus
• Negative Sentiment: EPS missed consensus (by $0.03) and EPS declined vs. prior year, which pressured near-term sentiment and prompted the intraday sell-off. Pediatrix Medical Group (MD) Q4 Earnings Lag Estimates
• Negative Sentiment: Patient volume weakness led to a 1.7% YoY revenue decline despite pricing gains — recovery in volumes will be critical for sustained earnings upside. MD Q4 deep dive: Pricing and payer mix resilience offset volume weakness

Wall Street Analyst Weigh In

Several research firms have commented on MD. Truist Financial dropped their target price on Pediatrix Medical Group from $24.00 to $21.00 and set a “hold” rating for the company in a research report on Thursday. UBS Group lifted their target price on shares of Pediatrix Medical Group from $16.50 to $23.00 and gave the stock a “neutral” rating in a research report on Wednesday, November 5th. Deutsche Bank Aktiengesellschaft set a $19.00 target price on shares of Pediatrix Medical Group in a report on Friday. Zacks Research lowered Pediatrix Medical Group from a “strong-buy” rating to a “hold” rating in a research report on Friday, January 23rd. Finally, Weiss Ratings reiterated a “hold (c+)” rating on shares of Pediatrix Medical Group in a research report on Monday, December 29th. One research analyst has rated the stock with a Buy rating and five have assigned a Hold rating to the stock. Based on data from MarketBeat.com, Pediatrix Medical Group presently has a consensus rating of “Hold” and an average target price of $20.00.

Insider Transactions at Pediatrix Medical Group

In related news, CEO Mark S. Ordan sold 23,000 shares of the business’s stock in a transaction that occurred on Monday, December 15th. The shares were sold at an average price of $22.41, for a total value of $515,430.00. Following the completion of the transaction, the chief executive officer directly owned 302,805 shares in the company, valued at $6,785,860.05. The trade was a 7.06% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 0.90% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Global Retirement Partners LLC increased its holdings in Pediatrix Medical Group by 68,250.0% in the 4th quarter. Global Retirement Partners LLC now owns 1,367 shares of the company’s stock valued at $29,000 after acquiring an additional 1,365 shares during the last quarter. Transamerica Financial Advisors LLC bought a new stake in shares of Pediatrix Medical Group in the fourth quarter worth about $30,000. Eurizon Capital SGR S.p.A. bought a new stake in shares of Pediatrix Medical Group in the fourth quarter worth about $33,000. Blue Trust Inc. purchased a new stake in shares of Pediatrix Medical Group in the fourth quarter worth about $37,000. Finally, TD Private Client Wealth LLC bought a new position in Pediatrix Medical Group during the fourth quarter valued at approximately $39,000. Institutional investors own 97.71% of the company’s stock.

Pediatrix Medical Group Stock Performance

The company has a market capitalization of $1.61 billion, a P/E ratio of 9.69 and a beta of 0.76. The business has a 50 day moving average of $21.56 and a 200 day moving average of $19.56. The company has a quick ratio of 1.83, a current ratio of 1.82 and a debt-to-equity ratio of 0.69.

Pediatrix Medical Group Company Profile

Pediatrix Medical Group, Inc (NYSE:MD) is a national physician-led medical group specializing in high-acuity newborn, maternal-fetal and pediatric subspecialty care. Headquartered in Sunrise, Florida, the company delivers clinical services through hospital-based physician staffing, advanced practitioner support and telemedicine programs. Its core specialties include neonatology, maternal-fetal medicine, pediatric cardiology, pediatric critical care, pediatric emergency medicine and anesthesiology.

Founded in 1979 and formerly known as MEDNAX, the company rebranded as Pediatrix Medical Group in 2022 to align its corporate identity with its primary clinical offerings.