Nu Skin Enterprises (NYSE:NUS) Trading Up 15.6% After Dividend Announcement

Key Points

• Nu Skin Enterprises shares saw a significant increase of 15.6% following the announcement of a $0.06 per share dividend to be paid on September 10th.
• Despite the positive stock movement, Wall Street Zen downgraded the company from a "strong-buy" to a "buy" rating in a recent report.
• For its latest quarter, Nu Skin reported earnings per share of $0.43, exceeding the consensus estimate by $0.18, with revenues of $386.14 million.

Nu Skin Enterprises, Inc. (NYSE:NUS - Get Free Report) shares rose 15.6% during trading on Monday after the company announced a dividend. The company traded as high as $9.99 and last traded at $10.32. Approximately 488,983 shares were traded during mid-day trading, a decline of 25% from the average daily volume of 650,792 shares. The stock had previously closed at $8.93.The newly announced dividend which will be paid on Wednesday, September 10th. Stockholders of record on Friday, August 29th will be issued a dividend of $0.06 per share. This represents a $0.24 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date of this dividend is Friday, August 29th. Nu Skin Enterprises's dividend payout ratio (DPR) is 11.94%.

Wall Street Analysts Forecast Growth

Separately, Wall Street Zen lowered Nu Skin Enterprises from a "strong-buy" rating to a "buy" rating in a research report on Saturday.

Nu Skin Enterprises Price Performance

The company has a fifty day simple moving average of $8.40 and a 200 day simple moving average of $7.48. The company has a debt-to-equity ratio of 0.27, a quick ratio of 1.38 and a current ratio of 2.01. The stock has a market capitalization of $510.54 million, a price-to-earnings ratio of 5.14 and a beta of 0.91.

Nu Skin Enterprises (NYSE:NUS - Get Free Report) last posted its quarterly earnings results on Thursday, August 7th. The company reported $0.43 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.25 by $0.18. The business had revenue of $386.14 million during the quarter, compared to analyst estimates of $376.68 million. Nu Skin Enterprises had a net margin of 6.20% and a return on equity of 8.23%. Equities research analysts forecast that Nu Skin Enterprises, Inc. will post 1.05 EPS for the current fiscal year.

Insider Buying and Selling

In related news, Director Edwina D. Woodbury sold 4,532 shares of the stock in a transaction on Monday, June 2nd. The shares were sold at an average price of $8.44, for a total transaction of $38,250.08. Following the sale, the director directly owned 42,947 shares of the company's stock, valued at approximately $362,472.68. This represents a 9.55% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, insider Steven Keith Hatchett purchased 6,500 shares of the company's stock in a transaction on Wednesday, May 28th. The shares were bought at an average price of $7.54 per share, with a total value of $49,010.00. Following the completion of the transaction, the insider owned 162,065 shares of the company's stock, valued at approximately $1,221,970.10. The trade was a 4.18% increase in their ownership of the stock. The disclosure for this purchase can be found here. Corporate insiders own 2.00% of the company's stock.

Hedge Funds Weigh In On Nu Skin Enterprises

Hedge funds and other institutional investors have recently modified their holdings of the company. GAMMA Investing LLC grew its stake in Nu Skin Enterprises by 102.0% during the first quarter. GAMMA Investing LLC now owns 3,498 shares of the company's stock worth $25,000 after purchasing an additional 1,766 shares during the period. Public Employees Retirement System of Ohio lifted its stake in Nu Skin Enterprises by 28.5% during the fourth quarter. Public Employees Retirement System of Ohio now owns 7,976 shares of the company's stock worth $55,000 after purchasing an additional 1,768 shares during the last quarter. PAX Financial Group LLC increased its holdings in Nu Skin Enterprises by 5.0% during the 1st quarter. PAX Financial Group LLC now owns 38,473 shares of the company's stock valued at $279,000 after purchasing an additional 1,840 shares during the period. Franklin Resources Inc. grew its holdings in shares of Nu Skin Enterprises by 6.5% during the 4th quarter. Franklin Resources Inc. now owns 34,307 shares of the company's stock worth $236,000 after acquiring an additional 2,091 shares during the period. Finally, SummerHaven Investment Management LLC grew its stake in shares of Nu Skin Enterprises by 2.8% in the 1st quarter. SummerHaven Investment Management LLC now owns 79,860 shares of the company's stock worth $580,000 after buying an additional 2,195 shares during the last quarter. Institutional investors and hedge funds own 82.84% of the company's stock.

Nu Skin Enterprises Company Profile

Nu Skin Enterprises, Inc, together with its subsidiaries, engages in the development and distribution of various beauty and wellness products worldwide. It offers skin care devices, cosmetics, and other personal care products, including ageLOC LumiSpa and ageLOC LumiSpa iO; and nutricentials skin care products.

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