Herbalife Forecasts $1.24B Q4 Revenue After $1.27B Q3 Beat
Herbalife will report Q4 results tomorrow after last quarter’s 2.7% yoy revenue rise to $1.27 billion (0.5% above estimates) despite a gross margin shortfall and EBITDA beat. Analysts project Q4 revenue of $1.24 billion (2.5% growth) and $0.48 adjusted EPS as the stock trails peers (down 6.1% vs peers’ 3.7%).
1. Q3 Revenue and Margin Results
Herbalife delivered $1.27 billion in Q3 revenue, up 2.7% year-on-year and 0.5% above analyst estimates. The company recorded an EBITDA beat but fell short on gross margin targets, marking mixed financial results that set the stage for investor scrutiny ahead of the next report.
2. Q4 Analyst Projections
For Q4, analysts anticipate 2.5% year-on-year revenue growth to $1.24 billion and $0.48 in adjusted EPS, reflecting stable consensus estimates over the past month. Herbalife has missed revenue forecasts five times in the last two years, underscoring potential volatility in upcoming results.
3. Peer Comparison and Stock Positioning
In the personal care segment, e.l.f. Beauty posted 37.8% revenue growth and Estée Lauder achieved 5.6%, yet both saw share declines exceeding 9%. Herbalife’s stock is down 6.1% this month compared with a 3.7% average gain for peers, while analysts’ average price target stands at $14 versus a current share price of $15.90.