Herbalife Ltd - Momentum
20 Mai 2011 - 2:00AM
Zacks
Herbalife Ltd (HLF) continues to trade like a rock star,
recently hitting a new all-time high after reporting another great
quarter. With four consecutive earnings surprises and bullish
growth projection, this Zacks #2 rank stock is a fast-track
momentum player.
Company Description
Herbalife Ltd sells nutritional supplements,
vitamins and other various healthcare products worldwide. The
company was founded in 1980 and has a market cap of $6.3
billion.
Although HLF has been trading strong for the last
few months, shares surged into a new all-time high in early May
after the company reported a great quarter and raised its full-year
guidance.
First-Quarter Results
Revenue for the period was up 28.5% from last year
to $795 million. Earnings also came in strong at 71 cents, 16%
ahead of the Zacks Consensus Estimate, where the company has an
average earnings surprise of 22% over the last four quarters.
Herbalife's strong international presence continues
to pay off, led by large gains in Asia Pacific, where sales were up
41% from last year to $199 million. That makes Asia Pacific the
company's highest revenue region. South and Central America was
close behind, with sales up 37% to $125 million.
Financial Profile
Herbalife has used its recent earnings momentum to
strengthen its balance sheet, with cash and equivalents up $96
million from last year to $261 million while total debt fell $64
million to $183 million.
Estimates
We saw some decent movement in estimates off the
good quarter, with the current year adding 16 cents to $2.89 while
the next-year estimate gained 25 cents to $3.37, a bullish 17%
growth projection.
Valuation
But in spite of the gains, HLF still looks
reasonably valued, trading with a PEG ratio of 1.08, only a slight
premium to the benchmark of 1 for value.
12-Month Chart
On the chart, HLF has been burning up the charts
for the last few months, recently surging into a new all-time high
on the good quarter. Take a look below.
Michael Vodicka is the Momentum Stock Strategist
for Zacks.com. He is also the Editor in charge of the Zacks
Momentum Trader Service.
HERBALIFE LTD (HLF): Free Stock Analysis Report
Zacks Investment Research
Herbalife (NYSE:HLF)
Historical Stock Chart
Von Jun 2024 bis Jul 2024
Herbalife (NYSE:HLF)
Historical Stock Chart
Von Jul 2023 bis Jul 2024