Nature's Sunshine Products (NASDAQ:NATR) Posts Earnings Results, Misses Expectations By $0.11 EPS

Key Points

• Quarterly results missed expectations: Nature’s Sunshine reported EPS of $0.14 versus the $0.25 consensus and revenue of $116.6 million versus estimates of $129.5 million. Sales fell 7% year over year excluding foreign exchange, while adjusted EBITDA declined to $11.1 million from $15.2 million.
• 2026 guidance was reduced: The company now expects net sales of $460 million–$470 million and adjusted EBITDA of $44 million–$48 million, below its previous forecasts of $490 million–$500 million and $48 million–$52 million, respectively.
• China is a major ongoing headwind: Sales in China dropped 52% in constant currency amid leadership departures and distributor changes, and management expects the market to weigh on results into 2027.

Nature's Sunshine Products (NASDAQ:NATR - Get Free Report) issued its quarterly earnings data on Wednesday. The company reported $0.14 EPS for the quarter, missing analysts' consensus estimates of $0.25 by ($0.11), FiscalAI reports. The company had revenue of $116.60 million for the quarter, compared to analyst estimates of $129.51 million. Nature's Sunshine Products had a return on equity of 12.88% and a net margin of 3.68%.

Here are the key takeaways from Nature's Sunshine Products' conference call:

• Third-quarter results missed expectations: Net sales were $116.6 million, down 7% year over year excluding foreign exchange (9% reported), while adjusted EBITDA fell to $11.1 million from $15.2 million.
• Full-year guidance was cut: Nature’s Sunshine now expects 2026 net sales of $460 million–$470 million and adjusted EBITDA of $44 million–$48 million, down from prior ranges of $490 million–$500 million and $48 million–$52 million, respectively.
• China remains a significant headwind: Sales there fell 52% in constant currency, amid the loss of two regional leaders and changes to distributor practices; management expects China to weigh on results into 2027. Taiwan was also weak.
• North America’s digital business is adjusting to slower growth: Digital sales declined 1% as the company lapped a viral product and rapid TikTok expansion, though autoship rose to 40% of digital sales from 30% a year earlier, supporting recurring revenue.
• The company is pursuing longer-term growth initiatives: Plans include a U.S. direct-selling relaunch in 2027, new products in Asia and the U.S., expansion in Japan and Germany, and stepped-up M&A outreach; it ended the quarter with $89.4 million in cash and no debt.

Nature's Sunshine Products Stock Up 6.4%

NATR traded up $0.77 during trading hours on Wednesday, hitting $12.84. 122,921 shares of the company's stock were exchanged, compared to its average volume of 100,046. Nature's Sunshine Products has a 1-year low of $11.92 and a 1-year high of $28.14. The stock's 50-day moving average is $12.96 and its two-hundred day moving average is $20.36. The stock has a market cap of $225.98 million, a price-to-earnings ratio of 10.32 and a beta of 0.80.

Insiders Place Their Bets

In other Nature's Sunshine Products news, major shareholder Prescott Group Capital Managem purchased 96,000 shares of the stock in a transaction on Friday, August 7th. The shares were purchased at an average cost of $16.63 per share, for a total transaction of $1,596,480.00. Following the purchase, the insider owned 1,883,610 shares of the company's stock, valued at approximately $31,324,434.30. This represents a 5.37% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders have acquired a total of 161,389 shares of company stock valued at $2,612,536 over the last ninety days. 3.10% of the stock is currently owned by company insiders.

Wall Street Analyst Weigh In

A number of brokerages recently weighed in on NATR. Canaccord Genuity Group reduced their target price on shares of Nature's Sunshine Products from $36.00 to $25.00 and set a "buy" rating for the company in a research note on Friday, October 30th. Weiss Ratings downgraded Nature's Sunshine Products from a "hold (c)" rating to a "hold (c-)" rating in a research note on Tuesday, October 27th. Wall Street Zen downgraded Nature's Sunshine Products from a "buy" rating to a "hold" rating in a research note on Sunday, August 16th. Finally, DA Davidson cut their price target on Nature's Sunshine Products from $33.00 to $25.00 and set a "buy" rating on the stock in a report on Monday, August 10th. Two investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $25.00.

Nature's Sunshine Products Company Profile

Nature's Sunshine Products, Inc develops and sells natural health and wellness products through direct selling, e-commerce and other distribution channels. Its product portfolio includes dietary supplements, herbal supplements, vitamins, minerals, essential oils, sports nutrition products and personal-care items.

The company markets products primarily under the Nature's Sunshine and Synergy WorldWide brands. Nature's Sunshine focuses on nutritional and herbal wellness products, while Synergy offers supplements and performance-oriented nutrition products.

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