Buy GNC (GNC) on Weakness as Spring Thaw Should Normalize Sales, Jefferies Says

Jefferies analyst Mark Wiltamuth reiterated a Buy rating and $57 price target on GNC Corp. (NYSE: GNC) saying sales should normalize with the warmer weather.

Wiltamuth said, "We view the ~20% pullback since Nov as a buying opportunity. With 4Q13 and 1Q14 disrupted by one of the worst winters on record, we think sales trends should start to normalize as weather warms. After a Dec/Feb collapse, monthly vitamin/supplement data through mid March has already turned positive. We view current valuation at 14.6x 2014 P/E (below 15.6x 3 yr. avg.) as an attractive entry point given that 2014 estimates have been stepped on by weather in 1Q14."

For an analyst ratings summary and ratings history on GNC Corp. click here. For more ratings news on GNC Corp. click here.

Shares of GNC Corp. closed at $46.64 yesterday.

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