ScoreWhy is Herbalife Ltd. ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Poor long term growth as Operating profit has grown by an annual rate -1.65% of over the last 5 years
2
Flat results in Jun 25
- OPERATING CASH FLOW(Y) Lowest at USD 265.3 MM
- CASH AND EQV(HY) Lowest at USD 657.3 MM
- DEBTORS TURNOVER RATIO(HY) Lowest at 48.72 times
3
Risky - Negative Book Value
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of 84.86%, its profits have risen by 50.9% ; the PEG ratio of the company is 0.1
Real-Time Research ReportHow much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Retailing)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Herbalife Ltd. for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Herbalife Ltd.
89.12%
0.31
75.63%
S&P 500
13.68%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-1.89%
EBIT Growth (5y)
-5.68%
EBIT to Interest (avg)
3.50
Debt to EBITDA (avg)
3.24
Net Debt to Equity (avg)
-2.58
Sales to Capital Employed (avg)
3.44
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
65.02%
ROE (avg)
0
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
8
Industry P/E
Price to Book Value
-3.37
EV to EBIT
7.33
EV to EBITDA
5.81
EV to Capital Employed
2.95
EV to Sales
0.68
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
40.19%
ROE (Latest)
Negative BV
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
No Trend
Mildly Bullish
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend5What is working for the Company
DEBT-EQUITY RATIO
(HY)
Lowest at -354.79 %
NET SALES(Q)
Highest at USD 1,283 MM
INVENTORY TURNOVER RATIO(HY)
Highest at 2.52 times
-13What is not working for the Company
NET PROFIT(Q)
At USD 62.3 MM has Fallen at -61.23%
CASH AND EQV(HY)
Lowest at USD 665.5 MM
OPERATING PROFIT(Q)
Lowest at USD 105.7 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 8.24 %
PRE-TAX PROFIT(Q)
Lowest at USD 27.4 MM
Here's what is working for Herbalife Ltd.
Net Sales
Highest at USD 1,283 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (USD MM)
Debt-Equity Ratio
Lowest at -354.79 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Inventory Turnover Ratio
Highest at 2.52 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Here's what is not working for Herbalife Ltd.
Net Profit
At USD 62.3 MM has Fallen at -61.23%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (USD MM)
Operating Profit
Lowest at USD 105.7 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (USD MM)
Operating Profit Margin
Lowest at 8.24 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
Lowest at USD 27.4 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (USD MM)
Cash and Eqv
Lowest at USD 665.5 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
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