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HLF
Herbalife Ltd. - NYSE

4/24/2014, 3:38 AM ET
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  • Argumentum Ad Absurdum: What If Herbalife Made Coca-Cola?
    Matt Stewart Yesterday, 11:27 AM 94 Comments

    Summary

    • Product Based Pyramid Schemes Cause Confusion.
    • Investors seem Perpelexed by the idea that Herbalife is a Pyramid Scheme.
    • Argumentum Ad Absurdum Helps Clear the Confusion.
  • Herbalife: Analyzing Through The Speculation
    Samir Vojdani Mon, Apr. 21 134 Comments

    Summary

    • Investors have allowed their emotions to get the best of them and compromise their analysis. An analysis of the facts is needed, rather than rampant speculation.
    • Regulators and auditors have already looked into HLF and found nothing. Many notorious investors have taken up large positions in HLF, advocating it as a legitimate company.
    • Ackman's attempts at destroying the company continue to cause retracements, providing investors with excellent opportunities to go long. It's currently 27% below intrinsic value and directly at NAV.
    • Current HLF market value is far too cheap to stay this low for long and will undoubtedly continue its bullish trend. Fundamental and technical analysis are in agreement.
    • HLF has had outstanding results and is positioned well for future growth. Franchise value and growth value indicate good growth potential and synergy. HLF currently has 27% upside, withstanding growth.
  • Dumb Investment Of The Week: Getting Involved In Herbalife - The Ultimate Wall Street Donnybrook
    Ben Strubel Mon, Apr. 21 78 Comments

    Summary

    • Individual investors are at a disadvantage in the Herbalife battle.
    • Pershing Square and Ackman's lobbying raise risks for longs, even if long thesis correct.
    • An Icahn-led leveraged buyout raises risks for shorts, even if short thesis correct.
  • Herbalife: Time To Look At The Long Side Again
    David Zanoni Thu, Apr. 17 375 Comments

    Summary

    • There are multiple hedge and mutual funds in favor of owning Herbalife, but only one calling for the company's demise.
    • The recent FBI investigation has caused more concern for the company and investors.
    • After 34 years in business, has anything really changed that would cause the company's demise?
    • I think that it is likely that the stock will eventually recover.
  • Tuesday's Herbalife Reports Miss Major Points
    Quoth the Raven Wed, Apr. 16 137 Comments

    Summary

    • Peter Henning incorrectly reported that the FBI is not interviewing witnesses; a report from Reuters directly contradicts this.
    • Mr. Henning incorrectly claims that lack of grand jury subpoenas mean that they are less likely to occur in the future; insulting to the FBI and downright false.
    • Charlie Gasparino of Fox News seems to think NY Attorney General Eric Schneiderman can be bought for a paltry $30,000 donation, made years ago.
    • Herbalife outspent Mr. Ackman in lobbying by nearly 10 times in 2013, according to Reuters.
    • Continued misinformation from the long side has put a bid under Herbalife's stock.
  • Regulators Pile On Herbalife And Capital Managers Should Re-Evaluate Their Positions In The Company
    Quoth the Raven Tue, Apr. 15 137 Comments

    Summary

    • Herbalife now finds itself being probed by the FTC, SEC, DOJ, FBI and the US Attorney General's office - the biggest regulatory agencies in the US. Read that again.
    • Despite this, Herbalife stock could be in your 401(k)/retirement account somewhere and I contend sell side fund managers have a responsibility to remove HLF from funds they manage.
    • With every day Carl Icahn and Bill Stiritz stay long, they are closer and closer to potential total losses and having themselves become the headline photos of a massive blunder.
  • Did Herbalife Executives Conspire To Commit Mail Fraud?
    Matt Stewart Mon, Apr. 14 232 Comments

    Summary

    • FT reported the FBI investigation.
    • The stakes have changed for Herbalife insiders.
    • Are Herbalife's Top People Now on the FBI's Most Wanted List?
    • Which of Mr. Ackman's "Perpetrators" might turn state's evidence?
  • Herbalife's Books Need To Be Re-Audited By PwC And Looked At By The SEC
    Quoth the Raven Mon, Apr. 14 80 Comments

    Summary

    • Herbalife seemingly hides its pure MLM model from Chinese regulators via some interesting financial techniques.
    • "Hourly Consulting Pay", as defined by Herbalife, doesn't deal with hours or consulting - it's just "pay".
    • Herbalife could potentially be hiding its Chinese recruiting rewards in its SG&A, which in and of itself could be materially false and misleading.
    • PwC, in my opinion, has an obligation to re-audit Herbalife's books with regards to how Chinese royalties are booked.
    • The SEC, in my opinion, should issue a comment letter to the company asking for clarification as to its questionable accounting.
  • Herbalife: Why Its Criminal Probe Response Is Worthless And Why You Should Worry
    The Specialist Sat, Apr. 12 106 Comments

    Summary

    • Herbalife's criminal investigation confirmed by CNBC's own source.
    • Herbalife's dismissive statement makes the matter more concerning.
    • Investors should steer clear of Herbalife for now.
  • The Criminal Dismantling Of Herbalife Begins As Shorts Likely To Laugh Last
    Quoth the Raven Sat, Apr. 12 67 Comments

    Summary

    • Herbalife shares were hit hard on news of FBI and DOJ investigations, now alongside the FTC inquiry into the company.
    • ABC's 20/20 is potentially going to be doing an expose on Herbalife and the company is worried about it involving an internal whistleblower.
    • NY Post's Michelle Celarier is throwing around terms like "mail and wire fraud" in conjunction with a Federal Investigation.
    • Herbalife is a global confidence game that has "bit its thumb" at regulators for the past 30 years and needs to be shut down permanently.
  • Herbalife: He Who Laughs Last, Laughs Best
    George Kesarios Sat, Apr. 12 118 Comments

    Summary

    • The Financial Times article on Friday claiming Herbalife was under investigation by the FBI and the Department of Justice was the main reason for the pressure on the stock.
    • Given that Carl Icahn knows the company much better than Bill Ackman, the benefit goes to Icahn.
    • And unless the company proves to be a complete scam, the correction is a buying opportunity.
  • Top 5 Absurd Carl Icahn Quotes About Herbalife
    Quoth the Raven Fri, Apr. 11 164 Comments

    Summary

    • Carl Icahn apparently doesn't seem to know much about Herbalife.
    • Mr. Icahn has made numerous baffling statements, on the record, about Herbalife.
    • Mr. Ackman's due diligence trumps Mr. Icahn's and I believe the FTC will side with Mr. Ackman.
  • Why The Chances Of The Government Shutting Down Herbalife Are Much Greater Than Zero
    Quoth the Raven Thu, Apr. 10 118 Comments

    Summary

    • Mr. LaRosa penned a baffling piece yesterday, which focuses on product safety, as opposed to Herbalife's business scheme.
    • Regardless of whether Herbalife is selling protein shakes or used tires, it's running an illegal business model.
    • Government intervention is a likely outcome, in this investor's opinion.
  • Why The Chances Of The Government Shutting Down Herbalife Are Zero
    John LaRosa Wed, Apr. 9 209 Comments

    Summary

    • HLF does not sell dangerous products that would attract the FTC's attention.
    • If the government shuts down HLF, it would have to shut down two dozen other MLMs.
    • As a sales model, MLM is increasing in popularity.
    • Millions of distributors would lose income and hope - not good PR in a weak job market.
  • Does MLM Attorney Kevin Thompson Have Amnesia?
    Matt Stewart Wed, Apr. 9 43 Comments

    Summary

    • Barclays research relies upon expert testimony of Kevin Thompson.
    • Mr. Thompson feel Herbalife will escape with a wrist slap.
    • Find out what Mr. Thompson really thinks about pyramid schemes.
  • Barclays Beefs Its Herbalife Analysis
    Quoth the Raven Wed, Apr. 9 73 Comments

    Summary

    • Barclays reiterated HLF as overweight with a $94 target yesterday.
    • Their MLM expert they cited claimed Ackman had already lost in December 2013 - since then the stock is off over 30% and the FTC is investigating Herbalife.
    • Herbalife remains, in my opinion, a global confidence game set to transfer money from the poor to the "top of the pyramid".
  • Why The FTC Has To Shutter Herbalife
    Matt Stewart Fri, Apr. 4 82 Comments

    Summary

    • Herbalife CEO faces a prisoner's dilemma.
    • US regulators must be wary of his escape routes.
    • Sound public policy requires a shutdown.
  • MLMs, Herbalife, Information Asymmetry, Reporting Regulations, And Not Tom Wolfe
    William Keep Fri, Apr. 4 167 Comments

    Summary

    • Regulations, compliance, and market efficiency.
    • Information asymmetry and results too good to be true.
    • Creating winners and losers in MLMs.
  • The FTC Will End Herbalife As We Know It
    Quoth the Raven Fri, Apr. 4 105 Comments

    Summary

    • FTC investigation into Herbalife will likely result in changes to the MLM industry.
    • Other MLMs are preemptively starting to reform their business models.
    • The FTC has "guns" and they're not afraid to use them.
  • 4 Million Reasons Herbalife Is A Money Transfer Scheme
    Matt Stewart Thu, Apr. 3 111 Comments

    Summary

    • Herbalife purportedly sells a business opportunity.
    • Participants fail at astonishing rates.
    • Failure rates reveal the massive fraud - the proof is in the pudding.
HLF vs. ETF Alternatives
Company Description

Herbalife, Ltd., is a global nutrition company that sells weight management, healthy meals and snacks, sports and fitness, energy and targeted nutritional products as well as personal care products.