Herbalife (NYSE:HLF) Cut to Hold at Zacks Research

Herbalife (NYSE:HLF – Get Free Report) was downgraded by Zacks Research from a “strong-buy” rating to a “hold” rating in a research note issued on Thursday, Zacks reports.

HLF has been the topic of several other research reports. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Herbalife in a research report on Thursday, October 22nd. Citigroup reiterated a “buy” rating and set a $17.00 target price (down from $21.00) on shares of Herbalife in a research note on Friday, August 7th. Wall Street Zen raised Herbalife from a “hold” rating to a “buy” rating in a report on Saturday, October 24th. UBS Group set a $21.00 price target on Herbalife in a report on Thursday, September 17th. Finally, Texas Capital upgraded Herbalife to a “strong-buy” rating in a research note on Thursday, September 17th. One analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat.com, Herbalife currently has an average rating of “Moderate Buy” and a consensus target price of $17.67.

View Our Latest Report on Herbalife

Herbalife Stock Performance

Shares of HLF opened at $13.04 on Thursday. Herbalife has a 52 week low of $7.56 and a 52 week high of $20.40. The firm has a market cap of $1.37 billion, a P/E ratio of 8.41, a price-to-earnings-growth ratio of 0.43 and a beta of 0.78. The firm’s 50-day simple moving average is $12.71 and its 200 day simple moving average is $14.01.

Herbalife (NYSE:HLF – Get Free Report) last released its quarterly earnings results on Thursday, August 6th. The company reported $0.51 earnings per share for the quarter, missing the consensus estimate of $0.54 by ($0.03). The company had revenue of $1.33 billion during the quarter, compared to the consensus estimate of $1.31 billion. Herbalife had a net margin of 3.16% and a negative return on equity of 43.90%. The firm’s revenue was up 5.4% compared to the same quarter last year. During the same period in the prior year, the company earned $0.59 earnings per share. As a group, equities analysts forecast that Herbalife will post 2.68 earnings per share for the current year.

Herbalife announced that its Board of Directors has initiated a share repurchase program on Tuesday, September 8th that permits the company to buy back $250 million in shares. This buyback authorization permits the company to repurchase up to 19.3% of its shares through open market purchases. Stock buyback programs are typically an indication that the company’s board believes its stock is undervalued.

Hedge Funds Weigh In On Herbalife

Hedge funds and other institutional investors have recently made changes to their positions in the company. Vise Technologies Inc. bought a new stake in shares of Herbalife during the 3rd quarter worth approximately $160,000. State of Wyoming increased its stake in Herbalife by 78.3% in the third quarter. State of Wyoming now owns 66,845 shares of the company’s stock valued at $811,000 after acquiring an additional 29,361 shares during the last quarter. Signaturefd LLC increased its stake in Herbalife by 135.1% in the third quarter. Signaturefd LLC now owns 2,222 shares of the company’s stock valued at $27,000 after acquiring an additional 1,277 shares during the last quarter. CWA Asset Management Group LLC bought a new position in Herbalife in the third quarter valued at approximately $1,052,000. Finally, SummerHaven Investment Management LLC increased its stake in Herbalife by 3.6% in the third quarter. SummerHaven Investment Management LLC now owns 77,769 shares of the company’s stock valued at $943,000 after acquiring an additional 2,700 shares during the last quarter.

Herbalife Company Profile

(Get Free Report)

Herbalife Ltd. (NYSE: HLF) is a global nutrition and wellness company that develops and distributes products through a network of independent members and distributors. Its offerings include meal-replacement shakes, protein and other dietary supplements, vitamins, sports nutrition products, and personal-care items.

Founded in 1980 by Mark Hughes, Herbalife sells its products through direct-selling channels rather than primarily through traditional retail stores. Independent distributors market the products, provide product guidance, and may operate nutrition clubs or similar community-based businesses.

The company serves customers across numerous markets in North America, Latin America, Europe, Asia-Pacific, and other regions.

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Analyst Recommendations for Herbalife (NYSE:HLF)

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