Nu Skin Enterprises, Inc. (NYSE:NUS)

The stock has great growth prospects and pays out a 2.9% dividend yield, but was sold off from $45 a share to $41 a share on Herbalife debacle. That pushed its PE down to 11.7 (TTM) for a company that has grown its EPS by 37.9% annually over the past 5 years. That just makes these shares even cheaper as Herbalife is a legit company, as is this MLM.

Pyramid scheme, just like HLF

NUS just recently announced a 50% increase in dividends. It has recently been slammed in sympathy with HLF on innuendo of being a pyramid scheme (allegations made against HLF by short seller Bill Ackman

There sales are strong. There just starting their sales in China. They are an innovative company that is continuously coming out with new products. There are very few negative complaints on the internet about their products. They have a huge sales force that seems to be motivated to sell. They have an experienced management team. The only problem is that large investment firms are shorting the stock and every stock in their category and then they are placing negative publicity on the internet to drive the stock price down. So far the negative claims seems to be speculative acusations.

The company has excellent ROE, profit margins, earnings growth, and balance sheet. It's operations in Asia have shown significant revenue growth, and have become the main drive behind revenue in recent years. I expect this strong growth to continue as China's economy gets back on track and discretionary spending rises.

NUS has an outstanding track record of stable and continuous growth in the last 5 years. Sales, profit margins and several balance sheet ratios have improved every year. Only negative issue is their share buy back program. I personally favor receiving dividend instead. The accusations in the Citron Research Report seems highly exaggerated in order to benefit from short selling the stock. I have seen no other signs or evidence that the company has a problem with the Chinese government. The management has earned a huge credit by their past performance, and they have a good strategy in place to enhance sales in mainland China which are still making only 11% of the total sales of NUS at the moment. With an expected EPS of USD 3.45 for 2012 the stock is trading at 12.8 times earnings. Considering a conservatively estimated EPS growth of 15% per year for the coming 5 years (last 5 years EPS growth was 39% per year), and the stable growth pattern that is likely to continue I expect that the PE will eventually rise to 18 to reflect the real growth potential, making the stock climb to over USD 100 in 4 to 5 years from now.

Great product range. When economy slow down, more people get involved in direct selling. Especially in Asia.
Target - $55

Strong revenue growth and increased future outlook. Asian sales booming.

Sounds like an MLM scam

magic formula

NUS, Nu Skin Enterprises, founded in 1984, based in Provo, Utah. Price/earnings of 13.2 is historical lowest in almost last 5 years. Debt/equity of 0.34 is pretty low for industry standards. Market cap of 2.50 billion leaves some room to grow or possibly be acquired. Return on Invested Capital (ROIC) of 28.40% is very attractive. Niche industry which will likely grow in demand over time.

From Citron Reports. Either a scam or a pack of lies.

Per Citron, looks like a scam. At best, a bunch of lies.

Fraud!

They have high end, cutting edge anti-aging products that will outperform any product in any spa in America. Their Galvanic Spa is the newest product that acts like a wrinkle iron.

In a market traditionally fuelled by little more than hype, the scientific approach adopted by Nu Skin leading to demonstrable results in the products gives them a huge edge, which when combined with the patents on products, the huge and increasing demand for them, and the constant innovation and release of more new and exciting products, suggests that the incredible performance seen in recent years is likely to continue for many more to come.

NUS

Nu skin is currently courting me and I am impressed. The products seem to deliver, the sales force compensated well, riding a trend of wellness and youth.

One of the best Network marketing companys, product line that targets the aging demographic while also catering to the younger consumer as well with cosmetics and herbal supplements.