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Sometimes it's better to be ignored. Such is the case for Herbalife (HLF +1.3%) today, as the...

Sometimes it's better to be ignored. Such is the case for Herbalife (HLF +1.3%) today, as the stock ticks back near its high following Ackman's glaring lack of comment at Ira Sohn. The stock had initially opened higher on the report of Carl Icahn's increased stake, but drifted lower over the course of the day as investors squared off ahead of Ackman's presentation. On good reason for Ackman to keep mum; the stock has risen nearly 28% over just the past month.
Comments (4)
  • powershake
    , contributor
    Comments (1201) | Send Message
     
    Today's Motley Fools Article -
    Herbalife Short Insanely Stupid: Don't Join In

     

    Conclusion:
    Bill Ackman may have shorted Herbalife while the company is still in its rapid growth phase, and it may lose Bill Ackman a lot of money if he holds onto the position for too long. In other words, it is too early to determine deceleration in demand, and since that is the case, the stock should not be shorted, and is a bargain at these levels.
    --------------- My notes --------------
    Ackman is trapped - short squeeze is happening now!
    8 May 2013, 03:09 PM Reply Like
  • LouisRenault
    , contributor
    Comments (126) | Send Message
     
    "the stock has risen nearly 28% over just the past month." - Shocking - Simply Shocking!
    8 May 2013, 03:26 PM Reply Like
  • Sennin
    , contributor
    Comments (41) | Send Message
     
    I would be watching very carefully what becomes of the class action law suit in the federal court of California against Herbalife, where it accused of being a pyramid scheme. Recall that there is an outstanding court order precisely in California against Herbalife which(is has summarily ignored) requiring it to change its accounting process in order to track sales to distributor versus retail sales. Under a similar situation in Belgium Herbalife was found guilty of being exactly that: a pyramid scheme. Legal costs are mounting and Herbalife is like an Olympic athlete with cancer: still able to compete at high levels on the outside but condemned to death on the inside. As far as Ackman being silent: still waters run deep. If Ackman is quiet something is brewing. I would bet on it!
    8 May 2013, 04:50 PM Reply Like
  • Continental Kid
    , contributor
    Comments (197) | Send Message
     
    Don't think for a minute that Ackman has some inside knowledge that makes his position a lock.....Icahn was a billionaire long before Ackman and knows the ropes......Ackman is going out on a stretcher....
    8 May 2013, 08:27 PM Reply Like
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