Wedbush analysts Rommel Dionisio and Alicia Reese are still bullish on Herbalife’s shares PT $90
Wedbush analysts Rommel Dionisio and Alicia Reese are still bullish on Herbalife’s shares:
Despite prominent recent headlines regarding a new FTC investigation, our channel checks indicate still strong momentum in the U.S. business, driven by solid recruiting trends and a successful new product launch…
Distributor recruiting in the U.S. appears to remain unimpeded…despite all the recent negative press, allegations from a prominent and vocal short-seller, and the change in the business model to separate out Members (discount buyers) from Sales Leaders (who active pursue the income opportunity). With the U.S. comprising nearly 20% of sales, such encouragingly strong trends give us greater confidence in Herbalife’s ability to meet or exceed estimates in both Q1 and 2014.
Given Herbalife’s still strong core business momentum, partially offset by continued headline risk, we believe shares of HLF should trade relatively in line with its peer group. This generates a 2014E P/E multiple of 15x, resulting in our PT of $90.
Oh Wedbush? Is that the same firm that leaked a rumor NUS was clear in China in the window between when HLF got word from the FTC and when they went public with that information. That unsubstantiated rumor pushed HLF to 70 Wednesday morning. And this is the firm you trust? Looks like they have taken over where Ramey stopped. Hopefully, they can run and hide in Stiritz's pocket after the wheels come off as well.
Republican Brain J. Herr, who plans to challenge Edward J Markey for the U.S. Senate, announced he filed an ethics complaint claiming Markey tried to manipulate Herbalife stock (NYSE: HLF) by launching a probe, reports Globe.
hogwash, but with any luck we can drive it to $55 today so i can short some more... given up hope it could ever fill yesterday's gap to $59. Keep pumping. Ten minutes left to end-of-noon-hour-bagholder-deadcat rally.