Herbalife Nutrition rises 8.3% after quarterly results beat on revenue and cash flow

What happened

Herbalife Nutrition (HLF) rose 8.3% on November 3, 2026, because of its third-quarter results showing sales growth and strong operating cash flow. The stock opened 7.0% above the previous close and trading volume was 2.1 times its 20-day average. The S&P 500 rose 0.4% on the day while the Consumer Defensive sector median fell 1.7%, leaving the stock 10.0 percentage points better than the sector median.

How big was the move

Herbalife Nutrition closed at $14.38, a move measured at 2.8 times a typical daily move for this stock. It rose 6.8% over the last five sessions. The stock’s beta was 0.39, indicating it tends to move less than the market. In the past five years the stock had 19 sessions with a gain of at least 8.3%; twenty trading days later the median result was a decline of 0.4%, and 8 of 19 were higher.

The technical picture

The stock traded above several short- and medium-term averages, sitting 5.7% above its 20-day moving average and 12.7% above its 50-day moving average, while 2.9% above its 200-day moving average. The 50-day average was below the 200-day average, a sign of a weak longer-term trend. The Relative Strength Index (14 days) was 65, inside a neutral range between 30 and 70. The stock was 29.5% below its 52-week high, and had risen 15.0% over one month and 14.1% over three months. Volatility was 47% annualized over 60 days, lower than 88% of its own readings over five years.

Fundamentals and valuation

For the four quarters through September 30, 2026, revenue was $5.28 billion, which grew 6.4% from a year earlier; diluted earnings per share for that period were $1.68. Earnings per share growth from a year earlier fell 46.3%. Gross margin was 76.5% compared with 77.3% a year earlier, and operating margin was 9.1% versus 9.8% a year earlier. Free-cash-flow margin was 8.3% and return on invested capital was 18.3%. The balance sheet showed net debt of 3.2 times EBITDA and share count over one year increased by 3.2%.

The stock traded at 8.6 times trailing earnings and 5.9 times price to forward earnings, with a free-cash-flow yield of 32.5%. Its price-to-trailing-earnings ratio was higher than 86% of its own readings over the past five years, where the five-year median was 7.3 times earnings. PromtFinance scores ranked Value 90 (Exceptional) and Quality 88 (Strong), while Stability scored 23 (Very weak). Those metrics suggest investors were paying up on valuation relative to recent history even as profitability and cash generation measured well.

Earnings and analyst expectations

Herbalife Nutrition reported last on November 2, 2026, with earnings per share of $0.64 against $0.62 expected, 3.6% above estimates. The company reported net sales of $1.4 billion, a 6% increase year-over-year on a reported basis and 7.6% in constant currency, marking the fifth consecutive quarter of sales growth. Management highlighted strong profitability and strong operating cash flow and said it was positioned to return capital to shareholders.

The company’s reported earnings of $0.64 per share were up from $0.50 a year earlier but below the Zacks Consensus Estimate of $0.73 as reported by Business Wire and Seeking Alpha. The stock has shown a typical two-day reaction after recent reports of rose 0.6%, and the last report represented one consecutive quarter beating estimates. Average surprise over the last four reports was 0.5% below estimates.

Analysts showed a consensus price target of $19.00, 32.1% above the closing price, based on 26 analysts with a consensus rating of Buy; 54% of those ratings were Buy or Strong Buy.

What to watch

• Next report: February 17, 2027.
• Net sales for the reported quarter: $1.4 billion, the fifth consecutive quarter of sales growth.
• Net debt of 3.2 times EBITDA and free-cash-flow margin of 8.3%.
• Price to trailing earnings of 8.6 times and free-cash-flow yield of 32.5%.
• Share count increased by 3.2% over one year.