Seeking Alpha

As the market clamors over finding the name of KPMG rogue auditor on the Herbalife (HLF -5%)...

As the market clamors over finding the name of KPMG rogue auditor on the Herbalife (HLF -5%) account (he's purportedly been identified), the stock has taken a hit from another source, DA Davidson, who downgraded the shares mid-day on concerns that the company, through no fault of their own, could now be out of compliance with NYSE requirements. Davidson Analyst Tim Ramey says he expects the company to get a de-listing notice from the NYSE because of the withdrawn audit opinion, although he doubts it will be actually be de-listed.
Comments (7)
  • Sennin
    , contributor
    Comments (41) | Send Message
     
    For a company that presumes to be in order, Herbalife is constantly under public scrutiny for some sort of wrong-doing or another - whether attributed or warranted. Too much controversy for there to not be a fire behind so much smoke. I think its time some governmental agency or another (SEC, FTC) do a thorough investigation. Something is rotten in the state of Denmark!
    9 Apr 2013, 02:35 PM Reply Like
  • Drew Robertson
    , contributor
    Comments (309) | Send Message
     
    Thanks Mr Ackman for your insight. And I agree. If you have an auditor stupid and venal enough to inside-trade on his clients, chances are he is also stupid and venal enough to take a dive for his clients' audits as well. What a bozo.
    9 Apr 2013, 03:13 PM Reply Like
  • Herbascum
    , contributor
    Comments (109) | Send Message
     
    Concur.
    9 Apr 2013, 09:14 PM Reply Like
  • TwistTie
    , contributor
    Comments (2477) | Send Message
     
    They were doing fine until I bought my shares.
    9 Apr 2013, 03:11 PM Reply Like
  • blackswans
    , contributor
    Comments (155) | Send Message
     
    No they weren't. The stock price was.
    9 Apr 2013, 07:55 PM Reply Like
  • TwistTie
    , contributor
    Comments (2477) | Send Message
     
    Touché.
    10 Apr 2013, 02:22 PM Reply Like
  • RCC007
    , contributor
    Comments (3) | Send Message
     
    An interesting observation today after the news of KPMG's partners involvement in insider trading relating to the 2 companies Herbalife(HLF) and Sketchers(SKX)

     

    HLF is down significantly and SKX is up.
    I can guess with high degree confidence that HLF will have a steep decline tomorrow.
    9 Apr 2013, 03:15 PM Reply Like
DJIA (DIA) S&P 500 (SPY)