Herbalife Ltd. (HLF): Today's Featured Consumer Goods Laggard

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Herbalife ( HLF) pushed the Consumer Goods sector lower today making it today's featured Consumer Goods laggard. The sector as a whole closed the day up 0.3%. By the end of trading, Herbalife fell $1.41 (-1.8%) to $79.38 on average volume. Throughout the day, 2,768,481 shares of Herbalife exchanged hands as compared to its average daily volume of 2,754,500 shares. The stock ranged in price between $77.25-$80.74 after having opened the day at $80.49 as compared to the previous trading day's close of $80.79. Other companies within the Consumer Goods sector that declined today were: Nu Skin ( NUS), down 15.6%, Verso Paper ( VRS), down 15.2%, LKQ Corporation ( LKQ), down 8.8% and Crumbs Bake Shop ( CRMB), down 8.5%.

Herbalife Ltd., through its subsidiaries, produces and distributes weight management, healthy meals and snacks, sports and fitness, energy and targeted nutritional products, and personal care products worldwide. Herbalife has a market cap of $8.1 billion and is part of the consumer non-durables industry. The company has a P/E ratio of 16.5, below the S&P 500 P/E ratio of 17.7. Shares are up 2.7% year to date as of the close of trading on Tuesday. Currently there are 5 analysts that rate Herbalife a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Herbalife as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, impressive record of earnings per share growth, increase in net income and expanding profit margins. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

On the positive front, Virco Manufacturing Corporation ( VIRC), up 16.7%, Mattress Firm ( MFRM), up 15.3%, China Shengda Packaging Group ( CPGI), up 10.6% and RiceBran Technologies ( RIBT), up 9.2% , were all gainers within the consumer goods sector with Pitney Bowes ( PBI) being today's featured consumer goods sector leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the consumer goods sector could consider iShares Dow Jones US Cons Goods ( IYK) while those bearish on the consumer goods sector could consider ProShares Ultra Sht Consumer Goods ( SZK).

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

More from Markets

UK GDP Hits Slowest Pace in Five Years as Cold Snap Hammers Construction

UK GDP Hits Slowest Pace in Five Years as Cold Snap Hammers Construction

Global Stocks Rise on Tech Resurgence; Dollar Past 3-Month High Ahead of Q1 GDP

Global Stocks Rise on Tech Resurgence; Dollar Past 3-Month High Ahead of Q1 GDP

Daimler Shares Rise After Record Mercedes-Benz Sales, Bullish Profit Outlook

Daimler Shares Rise After Record Mercedes-Benz Sales, Bullish Profit Outlook

AMD Rises Above the Competition; Loan Losses Mount for Big Banks -- ICYMI

AMD Rises Above the Competition; Loan Losses Mount for Big Banks -- ICYMI

McKesson Internal Review Clears Senior Management of Wrongdoing on Opioids

McKesson Internal Review Clears Senior Management of Wrongdoing on Opioids