that it drops another 3-4 tomorrow and maybe 2 on thursday. Everybody wants it that way, HLF probably would buy back more at those levels. So would Icahn and any new big hedgies. These guys know how to time their trades. I think it'll bounce from friday. But the bottom looks like 32 at some point on thursday.
The company was never in danger of scrutiny because it was reviewed in the past without any red flags. Yesterdays event proved that because FTC could have also attacked other companies but they didn't. How inefficient would it be if they took on each company one at a time? So, yesterday was basically a trigger for a quick short trade session for Loeb, Icahn or any other players to bring this down, cover after a few days and then load up along with HLF.
There's enough negativity on this board, so it's not my intention to spread more uncertainty, but the Tupperware CEO (on CNBC) was quick to distance himself from the network multilevel marketing model that he associated with Herbalife vs. the direct multilevel marketing model that he said Tupperware uses---the difference being that Tupperware sells directly to the retail consumer as opposed to his view that HLF sells to networked distributors. As HLF has stated recently and attempted to substantiate with their Lieberman research survey , the majority of distributors within the HLF network are consumers and should be referenced more in that light in their SEC filings. I am only pointing this out as it was somewhat disappointing that the Tupperware CEO, while acknowledging that he believed nothing was inappropriate with the HLF model, seemed compelled to distinguish his company's model from HLF's.