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HLF vs STRA

HLF
Herbalife Ltd.
NEUTRAL
Price
$16.46
Market Cap
$1.7B
Sector
Consumer Defensive
AI Confidence
85%
STRA
Strategic Education, Inc.
NEUTRAL
Price
$72.19
Market Cap
$1.64B
Sector
Consumer Defensive
AI Confidence
85%

Valuation

P/E Ratio
HLF
7.48
STRA
13.34
Forward P/E
HLF
5.27
STRA
8.97
P/B Ratio
HLF
-3.3
STRA
1.0
P/S Ratio
HLF
0.34
STRA
1.29
EV/EBITDA
HLF
5.72
STRA
7.62

Profitability

Gross Margin
HLF
77.87%
STRA
48.98%
Operating Margin
HLF
8.33%
STRA
16.89%
Profit Margin
HLF
4.53%
STRA
9.98%
ROE
HLF
--
STRA
7.65%
ROA
HLF
11.27%
STRA
6.0%

Growth

Revenue Growth
HLF
6.3%
STRA
3.8%
Earnings Growth
HLF
-53.3%
STRA
58.1%

Financial Health

Debt/Equity
HLF
--
STRA
0.07
Current Ratio
HLF
1.13
STRA
1.27
Quick Ratio
HLF
0.45
STRA
1.05

Dividends

Dividend Yield
HLF
--
STRA
2.87%
Payout Ratio
HLF
0.0%
STRA
44.36%

AI Verdict

HLF NEUTRAL

HLF presents a complex profile characterized by a strong Piotroski F-Score of 7/9, indicating operational improvement, contrasted against a critical structural red flag: a negative Price/Book ratio (-3.30) suggesting negative shareholders' equity. While valuation metrics are highly attractive with a P/E of 7.48 and a PEG of 0.61, these are overshadowed by a severe -53.3% collapse in year-over-year earnings growth. The stock is currently trading at $16.46, slightly above its growth-based intrinsic value of $15.40. Consequently, the company appears to be a deep-value play with significant balance sheet risks and inconsistent earnings quality.

Strengths
Strong operational health indicated by a Piotroski F-Score of 7/9
Very high gross margins (77.87%) providing significant pricing power
Deeply undervalued on a relative basis (P/E 7.48, PEG 0.61)
Risks
Negative shareholders' equity as evidenced by the -3.30 Price/Book ratio
Severe earnings contraction (-53.3% YoY growth)
Poor short-term liquidity with a Quick Ratio of 0.45
STRA NEUTRAL

STRA presents a significant valuation disconnect; while the Piotroski F-Score of 4/9 indicates stable financial health, the current price of $72.19 trades at a steep discount to both the Graham Number ($93.91) and the Intrinsic Value ($159.59). The company boasts an exceptionally clean balance sheet with a Debt/Equity ratio of 0.07 and strong earnings growth (58.1% YoY), yet it is hindered by sluggish revenue growth (3.8%) and a 0/100 technical trend. The primary concern is the aggressive insider selling by the CEO, CFO, and General Counsel, which offsets the attractive valuation metrics.

Strengths
Deep value valuation with a PEG ratio of 0.77 and P/B of 1.00
Extremely low leverage (Debt/Equity 0.07)
Strong earnings growth (58.1% YoY) and consistent earnings beats
Risks
Strongly bearish insider sentiment with C-suite selling (CEO, CFO, GC)
Severe negative price momentum across all timeframes (1M, 6M, 1Y, 3Y, 5Y)
Stagnant revenue growth (3.8% YoY) suggesting limited top-line expansion

Compare Another Pair

HLF vs STRA: Head-to-Head Comparison

This page compares Herbalife Ltd. (HLF) and Strategic Education, Inc. (STRA) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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