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Nu Skin Enterprises (NUS) Dips More Than Broader Markets: What You Should Know

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Nu Skin Enterprises (NUS - Free Report) closed at $50.75 in the latest trading session, marking a -0.65% move from the prior day. This move lagged the S&P 500's daily loss of 0.26%. Elsewhere, the Dow lost 0.16%, while the tech-heavy Nasdaq lost 0.04%.

Coming into today, shares of the seller of skin care and nutritional products through a direct-selling model had gained 15.44% in the past month. In that same time, the Consumer Staples sector gained 9.11%, while the S&P 500 gained 4.82%.

Investors will be hoping for strength from Nu Skin Enterprises as it approaches its next earnings release. On that day, Nu Skin Enterprises is projected to report earnings of $0.95 per share, which would represent a year-over-year decline of 32.14%. Meanwhile, our latest consensus estimate is calling for revenue of $655.86 million, down 12.34% from the prior-year quarter.

NUS's full-year Zacks Consensus Estimates are calling for earnings of $3.98 per share and revenue of $2.68 billion. These results would represent year-over-year changes of +9.64% and +3.73%, respectively.

It is also important to note the recent changes to analyst estimates for Nu Skin Enterprises. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Nu Skin Enterprises is holding a Zacks Rank of #3 (Hold) right now.

Looking at its valuation, Nu Skin Enterprises is holding a Forward P/E ratio of 12.83. This valuation marks a discount compared to its industry's average Forward P/E of 45.19.

The Cosmetics industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 112, which puts it in the top 45% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

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