Medline (MDLN) Faces Securities Fraud Probe After 13% Stock Drop

Medline Inc. (MDLN) filed an SEC Form 8-K — Regulation FD Disclosure. Item 7.01. Regulation FD Disclosure. On October 14, 2026, Medline Inc. (the “ Company ”) initiated a voluntary field action involving the removal, discontinuation, and market exit of all Medline Brand beds , including homecare beds, bariatric beds, and long-term care beds, as wel

GIC Private Ltd sold 7.8 million shares of Medline (MDLN) at $35.15 each, totaling $274.8 million. Medline shares have fallen 24.5% in six months, trading at $35.96 with a $48.08B market cap. The company reported Q2 2026 revenue of $7.7B, up 12%, with adjusted earnings of $0.50 per share. Analysts have mixed price targets, ranging from $55 to $62.

Medline Inc. (MDLN) shares rose 3.2% after announcing new customer wins, including expanded agreements with Stillwater Medical Center and Ohio County Healthcare. The company reported 11.6% sales growth in Q2 but lowered full-year EBITDA guidance. Analysts have mixed price targets, with a median of $53.0. Insider trading shows mostly sales, while hedge funds have varied positions.

Medline reported Q2 sales up 11.6% to $7.685B and net income down 58.3% to $139M, citing $336M fire-related losses tied to its Tracy, California distribution center. For 1H 2026, sales rose 11.1% to $15.037B. Medline said it signed over $650M in new customer business and is adding distribution centers, automation, and workers, including California capacity expansion to about 5M sq ft by mid-2027.

Medline (MDLN) Q2 2026 call said adjusted EBITDA rose 13% YoY to $1.1B, with higher costs partly offset by a $243M IEEPA tariff refund benefit. Q2 net sales grew 12% to $7.7B. Company raised fiscal 2026 organic sales outlook, but moderated adjusted EBITDA outlook citing Middle East conflict, Tracy warehouse fire, investments, quality remediation, and retail softness.

Medline said regulatory guidance followed its corrective actions for surgical convenience kits whose components were affected by a Becton Dickinson recall. The alert cites BD lot 4032183 ChloraPrep Clear 1 mL and lot 4073005 FREPP Clear 1.5 mL applicators, with compromised sterile seals and possible Aspergillus contamination. Medline reported no severe injuries or deaths as of Aug 3. MDLN shares were $35.71, up 0.61%.