Herbalife Nutrition (HLF) Now Covered by Jefferies Financial Group

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Investment analysts at Jefferies Financial Group initiated coverage on shares of Herbalife Nutrition (NYSE:HLF) in a note issued to investors on Thursday, Marketbeat.com reports. The firm set a “buy” rating and a $65.00 price target on the stock. Jefferies Financial Group’s price target points to a potential upside of 23.55% from the company’s previous close.

The analysts wrote, “After 5 years of muted growth owing to short attacks & ensuing regulatory changes, HLF’s sales look poised to accelerate to a more normalized range of 5-9%. We believe HLF should be able to grow at least in line with its TAM growth rate of ~6%, which combined w/ strong incremental margins & accretive FCF usage should drive significant earnings upside & support a growth company valuation. As such, we are initiating coverage with a Buy rating & $65 PT. What’s the catalyst for inflection in business momentum? Organic sales growth has inflected sharply positive from -1% in 2017 to +7.5% in 1Q18 & +28% in 2Q18.””

A number of other analysts also recently issued reports on the stock. Zacks Investment Research raised shares of Herbalife Nutrition from a “hold” rating to a “buy” rating and set a $65.00 price objective for the company in a report on Friday, August 3rd. Pivotal Research reaffirmed a “buy” rating and set a $75.00 price objective on shares of Herbalife Nutrition in a report on Thursday, August 2nd. Two analysts have rated the stock with a hold rating and five have given a buy rating to the company. The company has a consensus rating of “Buy” and a consensus price target of $61.92.

Shares of NYSE:HLF opened at $52.61 on Thursday. The company has a quick ratio of 0.71, a current ratio of 0.91 and a debt-to-equity ratio of -1.87. Herbalife Nutrition has a one year low of $32.13 and a one year high of $60.41. The firm has a market capitalization of $8.57 billion, a price-to-earnings ratio of 21.53 and a beta of 0.67.

Herbalife Nutrition (NYSE:HLF) last announced its quarterly earnings results on Wednesday, August 1st. The company reported $0.80 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.68 by $0.12. Herbalife Nutrition had a net margin of 3.61% and a negative return on equity of 140.85%. The firm had revenue of $1.30 billion during the quarter, compared to the consensus estimate of $1.26 billion. During the same period last year, the firm earned $1.51 EPS. The business’s quarterly revenue was up 13.3% compared to the same quarter last year. On average, equities analysts expect that Herbalife Nutrition will post 2.75 earnings per share for the current fiscal year.

In other news, COO David Pezzullo sold 99,875 shares of Herbalife Nutrition stock in a transaction on Tuesday, September 18th. The shares were sold at an average price of $55.29, for a total transaction of $5,522,088.75. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Jeff Dunn sold 17,440 shares of Herbalife Nutrition stock in a transaction on Friday, August 3rd. The stock was sold at an average price of $58.53, for a total transaction of $1,020,763.20. The disclosure for this sale can be found here. Insiders have sold a total of 205,961 shares of company stock valued at $11,578,487 over the last ninety days. 6.19% of the stock is currently owned by insiders.

A number of large investors have recently modified their holdings of HLF. Renaissance Technologies LLC raised its position in Herbalife Nutrition by 343.4% in the 2nd quarter. Renaissance Technologies LLC now owns 5,349,325 shares of the company’s stock worth $287,366,000 after purchasing an additional 4,142,825 shares during the period. FMR LLC raised its position in Herbalife Nutrition by 91.2% in the 2nd quarter. FMR LLC now owns 7,662,197 shares of the company’s stock worth $411,614,000 after purchasing an additional 3,654,763 shares during the period. Millennium Management LLC raised its position in Herbalife Nutrition by 6,745.3% in the 2nd quarter. Millennium Management LLC now owns 964,434 shares of the company’s stock worth $51,809,000 after purchasing an additional 950,345 shares during the period. Dimensional Fund Advisors LP raised its position in Herbalife Nutrition by 99.3% in the 2nd quarter. Dimensional Fund Advisors LP now owns 1,022,345 shares of the company’s stock worth $54,921,000 after purchasing an additional 509,484 shares during the period. Finally, First Quadrant L P CA purchased a new position in Herbalife Nutrition in the 2nd quarter worth $26,645,000. Institutional investors own 88.15% of the company’s stock.

About Herbalife Nutrition

Herbalife Nutrition Ltd. develops and sells nutrition solutions in North America, Mexico, South and Central America, Europe, the Middle East, Africa, and the Asia Pacific. It provides science-based products in the areas of weight management; targeted nutrition; energy, sports, and fitness; and outer nutrition.

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Analyst Recommendations for Herbalife Nutrition (NYSE:HLF)

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