Nu Skin (NUS) Strong Q1 Silences Critics
Deutsche Bank today maintained a Buy rating on Nu Skin Enterprises (NYSE: NUS) and raised its price target to $65.00 (from $60.00). Nu Skin reported Q1 earnings on Thursday.
Commenting, analyst Bill Schmitz said, "Despite industry leading organic growth trends, looming weight management launch that should drive a step change in sales and strong free cash flow generation with a fortress balance sheet, stock trades well below peers and towards the bottom of the group. As such, we see continued room for powerful combination of earnings upside and multiple expansion."
Schmitz thinks attacks by naysayers will abate in the short term, allowing the stock to appreciate.
"Of course, extracurricular attacks could clearly bubble up again, but we believe that credibility of the naysayers is compromised, and hitting hard again after a big move in the shares would be pretty transparent, in our view. So, with this challenging chapter hopefully behind the company, we continue to see strong upside to sales, profits, cash flow and multiple," concluded the analyst.
For an analyst ratings summary and ratings history on Nu Skin Enterprises (NYSE: NUS) click here. For more ratings news on Nu Skin Enterprises click here.
Shares of Nu Skin Enterprises closed at $54.28 yesterday, with a 52 week range of $32.36-$56.78.
Commenting, analyst Bill Schmitz said, "Despite industry leading organic growth trends, looming weight management launch that should drive a step change in sales and strong free cash flow generation with a fortress balance sheet, stock trades well below peers and towards the bottom of the group. As such, we see continued room for powerful combination of earnings upside and multiple expansion."
Schmitz thinks attacks by naysayers will abate in the short term, allowing the stock to appreciate.
"Of course, extracurricular attacks could clearly bubble up again, but we believe that credibility of the naysayers is compromised, and hitting hard again after a big move in the shares would be pretty transparent, in our view. So, with this challenging chapter hopefully behind the company, we continue to see strong upside to sales, profits, cash flow and multiple," concluded the analyst.
For an analyst ratings summary and ratings history on Nu Skin Enterprises (NYSE: NUS) click here. For more ratings news on Nu Skin Enterprises click here.
Shares of Nu Skin Enterprises closed at $54.28 yesterday, with a 52 week range of $32.36-$56.78.