NEW YORK (TheStreet) -- Herbalife (HLF) was downgraded by Argus to "hold" from "buy" on Friday. The downgrade was due to the ongoing Federal Trade Commission civil investigation into the nutrition and weight loss supplement maker.
"The company posted strong results in 2013, and we believe that its core business remains solid. However, in view of the significant risks posed by the FTC investigation, we think that the shares have limited near-term upside and that a Hold rating is now appropriate," the Argus report notes.
Shares of Herbalife were down 2.3% to $49.59 in early trading Friday
Must Read: Warren Buffett's 10 Favorite Stocks
Separately, TheStreet Ratings team rates HERBALIFE LTD as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate HERBALIFE LTD (HLF) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. 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 good cash flow from operations. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated."