In his Q4 letter to investors, Third Point's Dan Loeb outlines his thesis for taking a stake in Herbalife (NYSE:HLF). Loeb points out that the research his firm conducted showed no evidence of any pyramid scheme, and the beating the stock took at the hands of Ackman created an attractive entry point to buy the shares. By applying a modest 10-12x earnings multiple, Loeb suggests the stock's worth between $55 - 68 per share - translating to 40% - 70% upside from current levels.