Canaccord Genuity on Consumer Products - Health, Wellness and Lifestyle: Direct Selling Q2 Preview - Growth Continues
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Price: $12.65 +4.12%
Rating Summary:
11 Buy, 3 Hold, 1 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Rating Summary:
11 Buy, 3 Hold, 1 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
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Canaccord Genuity on Consumer Products - Health, Wellness and Lifestyle: Direct Selling Q2 Preview - Growth Continues by Scott Van Winkle
Van Winkle said, "When the direct selling sector results begin to roll in over the coming weeks, we largely anticipate a replay of Q1 results with more upside than downside and momentum continuing. The sector as a whole isn’t posting universal growth, but where momentum existed it appears to be continuing. Geographically, there is broad momentum across much of Asia; by selling method, it appears that one:one selling is enjoying more success than party plans; and product wise, the Healthy Living® segment appears to be faring better among the leading players. However, the primary consistency is that the companies exploiting their own key attributes are enjoying the strongest momentum. It isn’t a sector call, but a sector full of stock calls. In our direct selling coverage list, we expect all four stocks to benefit from earnings momentum. For Herbalife (NYSE: HLF)(BUY), we life
anticipate upside and more momentum than expected; for Nu Skin (NYSE: NUS)(BUY), we expect the product cycle to offset US and Japan challenges; and for Medifast (NYSE: MED)(BUY), we anticipate improving metrics and 20+% growth to yield earnings momentum. USANA Health Sciences (Nasdaq: USNA)(HOLD) has already posted upside in a positive preannouncement that set the stage for the group...Herbalife remains top pick in the sector."
Van Winkle said, "When the direct selling sector results begin to roll in over the coming weeks, we largely anticipate a replay of Q1 results with more upside than downside and momentum continuing. The sector as a whole isn’t posting universal growth, but where momentum existed it appears to be continuing. Geographically, there is broad momentum across much of Asia; by selling method, it appears that one:one selling is enjoying more success than party plans; and product wise, the Healthy Living® segment appears to be faring better among the leading players. However, the primary consistency is that the companies exploiting their own key attributes are enjoying the strongest momentum. It isn’t a sector call, but a sector full of stock calls. In our direct selling coverage list, we expect all four stocks to benefit from earnings momentum. For Herbalife (NYSE: HLF)(BUY), we life
anticipate upside and more momentum than expected; for Nu Skin (NYSE: NUS)(BUY), we expect the product cycle to offset US and Japan challenges; and for Medifast (NYSE: MED)(BUY), we anticipate improving metrics and 20+% growth to yield earnings momentum. USANA Health Sciences (Nasdaq: USNA)(HOLD) has already posted upside in a positive preannouncement that set the stage for the group...Herbalife remains top pick in the sector."
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