Stock Traders Buy Large Volume of Herbalife Put Options (NYSE:HLF)

Herbalife Ltd. (NYSE:HLF - Get Free Report) was the target of some unusual options trading activity on Wednesday. Stock traders bought 9,005 put options on the stock. This represents an increase of 197% compared to the average volume of 3,034 put options.

Herbalife Stock Down 2.6 %

Herbalife stock traded down $0.22 during midday trading on Wednesday, hitting $8.13. 4,946,977 shares of the stock were exchanged, compared to its average volume of 2,125,004. The stock has a market capitalization of $811.29 million, a price-to-earnings ratio of 5.72 and a beta of 1.22. Herbalife has a 52-week low of $6.68 and a 52-week high of $19.48. The business's 50-day moving average price is $9.88 and its 200-day moving average price is $12.40.

Herbalife (NYSE:HLF - Get Free Report) last announced its quarterly earnings data on Wednesday, February 14th. The company reported $0.28 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.38 by ($0.10). Herbalife had a net margin of 2.81% and a negative return on equity of 19.56%. The business had revenue of $1.20 billion during the quarter, compared to analysts' expectations of $1.19 billion. During the same period last year, the company posted $0.53 EPS. Herbalife's revenue for the quarter was up .0% on a year-over-year basis. On average, sell-side analysts predict that Herbalife will post 1.8 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

A number of analysts have issued reports on HLF shares. Bank of America reduced their target price on shares of Herbalife from $10.00 to $8.00 and set an "underperform" rating for the company in a research note on Thursday, March 21st. DA Davidson lowered their price target on shares of Herbalife from $11.00 to $9.50 and set a "neutral" rating on the stock in a report on Monday, March 25th. StockNews.com raised shares of Herbalife from a "hold" rating to a "buy" rating in a report on Friday, February 16th. Finally, Mizuho cut their target price on shares of Herbalife from $12.00 to $10.00 and set a "neutral" rating on the stock in a research report on Thursday, March 21st. One equities research analyst has rated the stock with a sell rating, four have given a hold rating and one has issued a buy rating to the company. According to MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $10.50.

Insider Activity

In related news, Director Rodica Macadrai purchased 5,175 shares of the business's stock in a transaction on Monday, March 11th. The shares were bought at an average price of $9.31 per share, with a total value of $48,179.25. Following the completion of the purchase, the director now directly owns 12,716 shares in the company, valued at approximately $118,385.96. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. In other Herbalife news, CEO Michael Johnson purchased 61,725 shares of the firm's stock in a transaction dated Friday, February 16th. The stock was acquired at an average cost of $8.07 per share, with a total value of $498,120.75. Following the acquisition, the chief executive officer now owns 603,707 shares of the company's stock, valued at approximately $4,871,915.49. The purchase was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Rodica Macadrai purchased 5,175 shares of the company's stock in a transaction on Monday, March 11th. The shares were bought at an average price of $9.31 per share, for a total transaction of $48,179.25. Following the completion of the transaction, the director now directly owns 12,716 shares in the company, valued at approximately $118,385.96. The disclosure for this purchase can be found here. Insiders have acquired 85,757 shares of company stock worth $723,278 over the last ninety days. 0.94% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Herbalife

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Price T Rowe Associates Inc. MD boosted its position in Herbalife by 1.1% in the third quarter. Price T Rowe Associates Inc. MD now owns 67,737 shares of the company's stock valued at $1,348,000 after buying an additional 705 shares during the last quarter. Ameritas Investment Partners Inc. grew its position in Herbalife by 9.9% in the 2nd quarter. Ameritas Investment Partners Inc. now owns 8,166 shares of the company's stock valued at $108,000 after acquiring an additional 736 shares in the last quarter. Envestnet Asset Management Inc. grew its position in shares of Herbalife by 6.5% during the first quarter. Envestnet Asset Management Inc. now owns 12,308 shares of the company's stock worth $374,000 after buying an additional 747 shares in the last quarter. Exchange Traded Concepts LLC grew its position in shares of Herbalife by 3.6% during the fourth quarter. Exchange Traded Concepts LLC now owns 26,496 shares of the company's stock worth $404,000 after buying an additional 929 shares in the last quarter. Finally, Nomura Asset Management Co. Ltd. lifted its stake in Herbalife by 150.0% during the first quarter. Nomura Asset Management Co. Ltd. now owns 1,900 shares of the company's stock worth $31,000 after purchasing an additional 1,140 shares during the last quarter.

Herbalife Company Profile

Herbalife Ltd. provides health and wellness products in North America, Mexico, South and Central America, Europe, the Middle East, Africa, China, and the Asia Pacific. It offers products in the areas of weight management; targeted nutrition; energy, sports, and fitness; outer nutrition; and literature and promotional items.