Herbalife Nutritions Potential for Growth in 2019On February 13, 2019 by admin
Nutrition’s EPS growth shows its future prospects that have made investors believe that it is bring good investment opportunities in 2019. It has recorded a revenue growth of 24% over the last twelve months. With five revenue segments namely, Herbalife shares previously experienced a -0.65% change opening at 58.62 and closing at 58.22. It moved from an intraday low of 58.15 to a high of 58.86.
HLF shares returned -2.5% in the past five trading days as well as -0.26% over the last 30 trading days. The shares changed by 7.24% over the past three months. It changed 39.8% over the last one year. The impressive increments was permeated by a 52-week high at 60.41 as well as a 52-week low at 39.27. HLF stock is above its 52 Week Low by 48.25%. Calculations showed a 200 day moving average of 54.87 as well as a 50 day moving average of 57.23. HLS stock is now trading above its 200 day moving average by 6.11%. Analysts expects earnings-per-share to grow by 11.71% in 2019. The company has also expressed its confidence that it can achieve a long-term annual earnings growth rate of -0.5%.
One of the key things that Herbalife has banked on to bring good future prospects include direct sales business model. It has perfected the model in a way that is beneficial to independent sales representatives while at the same time building name and brand recognition. Below are some of the benefits of the direct sales model that is helping Herbalife Nutrition pose such impressive results.
Brand and name recognition
Herbalife Nutrition has been around for over 40 years and it has appeared in “Direct Selling News” List consistently as one of the top 10 direct selling companies worldwide. Direct sales business model took decades to take shape. It benefits sales representatives greatly by offering a product that potential clients might have heard about but may never had the chance to try before.
Herbalife’s independent distributors and sales representatives have an easier work of selling products of brands that are performing very well and might be within the knowledge of the public domain. Therefore, it streamlines sales. This is part of the reason why the company is generating impressive revenues.
The business model allows independent distributors to be flexible on their working schedule. They could choose to work part-time or full-time depending on their business goals. Direct sales fits into most lifestyles as well as schedules because individuals have the freedom to choose the time to work. This increases the number of people who are willing to work as independent distributors. For example, students and parents who are committed elsewhere but comes to make an extra dollar as an independent distributor working part-time. This has led to expansion of Herbalife Nutrition’s customer base and it continues to grow entering 2019. Learn more about Herbalife on Crunchbase.