Herbalife (NYSE:HLF) Stock Rating Raised to “Buy” at Wall Street Zen

Wall Street Zen upgraded shares of Herbalife (NYSE:HLF) from a hold rating to a buy rating in a research note published on Saturday morning,Wall Street Zen reports.

Other analysts have also issued research reports about the company. Weiss Ratings restated a “hold (c)” rating on shares of Herbalife in a report on Thursday. Zacks Research raised Herbalife from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, September 30th. Texas Capital raised Herbalife to a “strong-buy” rating in a report on Thursday, September 17th. Citigroup reaffirmed a “buy” rating and set a $17.00 target price (down from $21.00) on shares of Herbalife in a report on Friday, August 7th. Finally, UBS Group set a $21.00 price target on shares of Herbalife in a research report on Thursday, September 17th. Two equities research analysts have rated the stock with a Strong Buy rating, three have given a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $17.67.

Herbalife Price Performance

HLF opened at $13.40 on Friday. The company has a market capitalization of $1.40 billion, a price-to-earnings ratio of 8.65, a price-to-earnings-growth ratio of 0.44 and a beta of 0.78. Herbalife has a 1-year low of $7.56 and a 1-year high of $20.40. The business has a 50 day moving average price of $12.62 and a two-hundred day moving average price of $13.00.

Herbalife (NYSE:HLF) last issued its quarterly earnings results on Thursday, August 6th. The company reported $0.51 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.54 by ($0.03). Herbalife had a net margin of 3.16% and a negative return on equity of 43.90%. The firm had revenue of $1.33 billion for the quarter, compared to the consensus estimate of $1.31 billion. During the same period in the previous year, the business posted $0.59 earnings per share. The business’s revenue for the quarter was up 5.4% compared to the same quarter last year. Equities analysts expect that Herbalife will post 2.68 EPS for the current fiscal year.

Herbalife announced that its board has approved a stock repurchase plan on Tuesday, September 8th that allows the company to repurchase $250.00 million in shares. This buyback authorization allows the company to buy up to 19.3% of its shares through open market purchases. Share buyback plans are usually a sign that the company’s board believes its stock is undervalued.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in HLF. Signaturefd LLC increased its holdings in shares of 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 buying an additional 1,277 shares in the last quarter. CWA Asset Management Group LLC acquired a new stake in shares of Herbalife during the 3rd quarter valued at $1,052,000. SummerHaven Investment Management LLC lifted its position in shares of Herbalife by 3.6% during the 3rd 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. State of Alaska Department of Revenue boosted its stake in shares of Herbalife by 39.4% during the 3rd quarter. State of Alaska Department of Revenue now owns 18,246 shares of the company’s stock worth $220,000 after acquiring an additional 5,156 shares in the last quarter. Finally, Avaii Wealth Management LLC bought a new stake in shares of Herbalife during the 3rd quarter worth $459,000.

About Herbalife

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.