Herbalife Ltd. (NYSE: HLF)
Herbalife started the day off just like any other normal day in the market today. However, minutes ago, things started to change drastically. Today, we’ll talk about what we’re seeing from the stock, why we’re seeing the movement, and what we can expect to see from HLF ahead.
Trade smarter and make more money with Tradespoon!
HLF Falls Hard
As mentioned above, today started off normal for Herbalife. In the business as usual day, we saw that the company was in the green, for the most part. However, minutes ago, things started to take a turn for the worst, bringing the stock into the red. Currently (11:09), HLF is trading at $62.09 per share after a loss of $0.51 per share or 0.81% thus far today.
Why This Is Happening
The declines that we’re starting to see on HLF are coming for a very good reason. Earlier this morning, a firm known as 10/10 research issued a report on the company. In their report, they called for an immediate investigation by government agencies into the company, claiming that moves made by the company are being made at the cost of shareholders.
The truth is that this isn’t the first time that Herbalife has had to deal with attacks like this. In fact, we all know about the ongoing feud between the company and activist investor Bill Ackman. While I do understand concerns, in this particular case, I believe that HLF will be just fine. Following Ackman’s claims, we’ve seen ongoing investigations. HLF settled, paid fees, and restructured its company. At this point, while I wouldn’t say that it’s a great investment, I will say that I don’t believe that the company is taking part in any wrong doing.
Don’t waste your time! Click here to find winning trades in minutes!
Never Miss The News Again
Do you want actionable news delivered to your inbox in real time for free? Join our mailing list below!
[Image Courtesy of Flickr]