Skip to main content

NEW YORK (TheStreet) -- Shares of Herbalife (HLF) - Get Free Report were retreating in pre-market trading on Friday as billionaire investor Carl Icahn recently discussed selling his stake in the company to a group including Bill Ackman, according to the Wall Street Journal.

In recent months, investment bank Jefferies has been looking to find buyers for Icahn's 18% stake, which is worth about $1 billion, sources told the newspaper.

The status of the discussions and which other investors could be involved was unclear. Icahn could not sell any of his stake in the end.

Ackman has said Herbalife is a pyramid scheme. In 2012, he kicked off the fight with a widely viewed presentation and a $1 billion bet that shares would collapse, the Journal noted.

Herbalife is a global nutrition company.

Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.

The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its notable return on equity, revenue growth and good cash flow from operations.

But the team also finds weaknesses including deteriorating net income and generally higher debt management risk.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: HLF

Image placeholder title