Stock Repurchase Plan Authorized by Herbalife (NYSE:HLF) Board

Herbalife (NYSE:HLF) declared that its Board of Directors has authorized a stock repurchase plan on Tuesday, September 8th, RTT News reports. The company plans to buyback $250.00 million in outstanding shares. This buyback authorization authorizes the company to reacquire up to 19.3% of its stock through open market purchases. Stock buyback plans are usually a sign that the company’s management believes its shares are undervalued.

Herbalife Stock Up 1.0%

HLF stock traded up $0.13 during mid-day trading on Tuesday, reaching $12.51. 2,121,911 shares of the company traded hands, compared to its average volume of 1,633,929. The stock has a market cap of $1.31 billion, a price-to-earnings ratio of 8.07, a P/E/G ratio of 0.41 and a beta of 0.85. Herbalife has a fifty-two week low of $7.56 and a fifty-two week high of $20.40. The firm’s 50 day moving average price is $12.37 and its 200 day moving average price is $13.80.

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

Analyst Ratings Changes

A number of analysts recently commented on HLF shares. Weiss Ratings lowered Herbalife from a “hold (c+)” rating to a “hold (c)” rating in a research report on Friday, July 24th. Wall Street Zen cut Herbalife from a “buy” rating to a “hold” rating in a research note on Saturday, August 8th. Finally, Citigroup reaffirmed a “buy” rating and set a $17.00 target price (down from $21.00) on shares of Herbalife in a research report on Friday, August 7th. Three analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $17.00.

About Herbalife

Herbalife Nutrition Ltd. (NYSE: HLF) operates as a global multi-level marketing company specializing in weight-management, nutritional supplement, sports nutrition and personal care products. Its portfolio includes protein shakes, vitamins, energy and fitness supplements, hydration products and skin and hair care items, all formulated to support wellness, performance and healthy living. Products are manufactured in GMP-certified facilities to ensure consistent quality and safety standards.

Founded in 1980 by Mark R.