Market Reports Encourage Buying USANA Shares

(SALEM, Ore.) - Leaders at USANA Health Sciences (NYSE: USNA) always appreciate it when market analysts or financial writers share positive information about or offer recommendations for the global leader in health and wellness products.

These mentions may encourage the current stock price to move in a positive direction. More importantly, they can increase the possibility of it being seen and considered by a larger number of possible investors and fund managers, so they’ll know about the exciting things taking place and future investment opportunities with USANA Health Sciences.

For instance, in early February, Zacks Investment Research upgraded USANA Health Sciences from a “hold” to a “buy” rating. A research report provided to clients and investors shared this recommendation, based on the company’s performance this year along with an excellent performance overall in 2020.

Although the acceleration of the COVID pandemic last spring and summer caused weak second quarter earnings for USANA and many other companies on a global level, the third and fourth quarters turned out quite well as companies adapted and many created new markets, especially those in the health care or health supplement sectors. Performance for this year also appears positive as customer demand for healthy products still is high.

The report from Zacks Investment Research set a $98 target price on USANA’s stock. The stock actually opened at $98.53 on Feb. 10.

A separate research report issued around the same time was also encouraging about future growth possibilities for USANA Health Sciences. Roth Capital increased its price objective on USANA shares from $107 to $126 and also gave the stock a “buy” rating.

This recent attention likely came about due to good news in its quarterly earnings so far.

On Feb. 8, it reported $1.87 EPS for the first quarter, which was higher than the $1.39 many analysts had predicted. The company also had a net margin of 10.57 percent and a return on equity of 32.91 percent. Even more encouraging is revenue of $310.50 million during the quarter, which was also higher than the prediction of $286.71 million by other analysts.

For this time period in 2020, the company posted $1.41 EPS. Overall, revenue was up 14.4 percent from year to year, and one prediction is that USANA will post 5.4 EPS for all of 2021.

Other moves that could have influenced the recent upgrades to buy included news about a share repurchase program. Its board authorized buying $150 million in shares and up to 8.2 percent of stock through the open market.

Based on fourth quarter performance, some hedge funds have been purchasing additional shares, including Euclidean Technologies Management, Duality Advisers LP, Quantinno Capital Management, ProShare Advisors and Royce & Associates.

Third quarter 2020 was especially successful, and saw increases of 14.5 percent from 3rd quarter 2019. Overall net sales were $298.5 million at the end of September 2020.

Company officials reported a 16.5 percent increase in active customers from 2019, up to 650,000. The company put greater emphasis in developing Asian markets, especially mainland China.

Innovative products

For instance, in December, it received third-party approval from ConsumerLab.com for BiOmega, its ultra-pure Omega-3 supplement. The fish oil supplement has been designed to support the immune system and provide other health benefits. The same independent testing lab has also provided approval for CellSentials, Procosa, USANA Probiotic, Visionex and others.

Its CellSentials line also remains a top seller. The cellular nutrition system has been designed to protect, renew and nourish the body’s cells. It features two nutritional supplements, Vita Antioxidant and Core Minerals. When combined, both supplements provide a wide spectrum of vitamins, nutrients, antioxidants, minerals and more.

Company officials say the Usana CellSentials line is intended to optimize physical health as well as mental health, including giving the body an energy boost so it will optimally respond to stress while keeping cells in good shape. It provides nutritional support for the body, including the immune system, nervous system and skin and nail growth.

An in-house study of people who use Usana CellSentials showed that participants self-reported benefits in physical and mental health over the course of a month.

About USANA USANA Health Sciences (NYSE: USNA) was founded in Utah in 1992. It creates a variety of high-quality nutritional products which customers can buy through independent USANA Associates or directly through USANA.

Its global presence includes locations in Japan, Hong Kong, China, Seoul, the Philippines, Paris and more. To learn more about the company, its products, or how to contact an Associate in your area to place an order, visit https://www.usana.com.