We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Here's How Much a $1000 Investment in Helen of Troy Made 10 Years Ago Would Be Worth Today
Read MoreHide Full Article
For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.
The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.
What if you'd invested in Helen of Troy (HELE - Free Report) ten years ago? It may not have been easy to hold on to HELE for all that time, but if you did, how much would your investment be worth today?
Helen of Troy's Business In-Depth
With that in mind, let's take a look at Helen of Troy's main business drivers.
Founded in Texas in 1968, Helen of Troy is a leading consumer products player that operates through a diversified portfolio of renowned brands. The company, which was reorganized in Bermuda in 1994, has created a robust market position through its focus on product innovation, quality and effective pricing.
During the fourth quarter of fiscal 2022, management renamed two of its segments to bring them in tandem with the growth in some particular product offerings and brands. Helen of Troy now reports under the Home & Outdoor, Health & Wellness and Beauty segments. The Home & Outdoor and Health & Wellness units were previously known as the Housewares and Health & Home segments, respectively.
Helen of Troy currently operates through the following segments:
Home & Outdoor: The unit offers consumer products for home activities like food preparation, cooking, cleaning and organization. It also provides items for outdoor and on the go activities like hydration, food storage, backpacks, and travel gear.
Health & Wellness: The unit offers health and wellness products like healthcare devices, thermometers, water and air filtration systems, humidifiers, and fans.
Beauty: The unit offers mass and prestige market beauty appliances namely hair styling appliances, grooming tools, decorative hair accessories as well as prestige market liquid-based hair and personal care products.
The company divested its Nutritional Supplements segment in December 2017, through the sale of Healthy Directions LLC and its subsidiaries. It also divested the mass market Personal Care business (excluding the Latin America and Caribbean regions) to HRB Brands LLC in June 2021. On Mar 25, 2022, management concluded the sale of the Latin America and Caribbean Personal Care businesses to HRB Brands.
The company sells its products through merchandisers, warehouse clubs, home improvement stores, grocery and specialty stores, drugstore chains, wholesalers and distributors. Products of the company are marketed under a number of trademarks, many of which the company owns and some which have been licensed. Further, the company extensively collaborates with retailers to come up with new product versions with exclusive designs and packaging.
Bottom Line
Anyone can invest, but building a successful investment portfolio takes a combination of a few things: research, patience, and a little bit of risk. So, if you had invested in Helen of Troy a decade ago, you're probably feeling pretty good about your investment today.
A $1000 investment made in February 2013 would be worth $3,401.15, or a 240.12% gain, as of February 3, 2023, according to our calculations. Investors should note that this return excludes dividends but includes price increases.
The S&P 500 rose 176.23% and the price of gold increased 10.19% over the same time frame in comparison.
Looking ahead, analysts are expecting more upside for HELE.
Helen of Troy's shares have lagged the industry in the past six months. A tough operating landscape, including inflation, increased interest rates and reduced operating leverage acted as downsides in the third quarter of fiscal 2023, wherein top and bottom lines declined year over year. Also, consumption remained low in certain categories. Apart from this, the company witnessed a spike in outbound freight costs, and salary and wage costs. Helen of Troy continued to witness softness in the Beauty segment, wherein core sales are likely to decline in fiscal 2023. Although management raised the lower end of its top and bottom-line view for fiscal 2023, it still suggests a year-over-year decline. That said, contributions from the acquisitions of Osprey and Curlsmith offered some respite in the third quarter. Focus on Project Pegasus also bodes well.
The stock has jumped 11.93% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 2 higher, for fiscal 2023; the consensus estimate has moved up as well.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Here's How Much a $1000 Investment in Helen of Troy Made 10 Years Ago Would Be Worth Today
For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.
The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.
What if you'd invested in Helen of Troy (HELE - Free Report) ten years ago? It may not have been easy to hold on to HELE for all that time, but if you did, how much would your investment be worth today?
Helen of Troy's Business In-Depth
With that in mind, let's take a look at Helen of Troy's main business drivers.
Founded in Texas in 1968, Helen of Troy is a leading consumer products player that operates through a diversified portfolio of renowned brands. The company, which was reorganized in Bermuda in 1994, has created a robust market position through its focus on product innovation, quality and effective pricing.
During the fourth quarter of fiscal 2022, management renamed two of its segments to bring them in tandem with the growth in some particular product offerings and brands. Helen of Troy now reports under the Home & Outdoor, Health & Wellness and Beauty segments. The Home & Outdoor and Health & Wellness units were previously known as the Housewares and Health & Home segments, respectively.
Helen of Troy currently operates through the following segments:
Home & Outdoor: The unit offers consumer products for home activities like food preparation, cooking, cleaning and organization. It also provides items for outdoor and on the go activities like hydration, food storage, backpacks, and travel gear.
Health & Wellness: The unit offers health and wellness products like healthcare devices, thermometers, water and air filtration systems, humidifiers, and fans.
Beauty: The unit offers mass and prestige market beauty appliances namely hair styling appliances, grooming tools, decorative hair accessories as well as prestige market liquid-based hair and personal care products.
The company divested its Nutritional Supplements segment in December 2017, through the sale of Healthy Directions LLC and its subsidiaries. It also divested the mass market Personal Care business (excluding the Latin America and Caribbean regions) to HRB Brands LLC in June 2021. On Mar 25, 2022, management concluded the sale of the Latin America and Caribbean Personal Care businesses to HRB Brands.
The company sells its products through merchandisers, warehouse clubs, home improvement stores, grocery and specialty stores, drugstore chains, wholesalers and distributors. Products of the company are marketed under a number of trademarks, many of which the company owns and some which have been licensed. Further, the company extensively collaborates with retailers to come up with new product versions with exclusive designs and packaging.
Bottom Line
Anyone can invest, but building a successful investment portfolio takes a combination of a few things: research, patience, and a little bit of risk. So, if you had invested in Helen of Troy a decade ago, you're probably feeling pretty good about your investment today.
A $1000 investment made in February 2013 would be worth $3,401.15, or a 240.12% gain, as of February 3, 2023, according to our calculations. Investors should note that this return excludes dividends but includes price increases.
The S&P 500 rose 176.23% and the price of gold increased 10.19% over the same time frame in comparison.
Looking ahead, analysts are expecting more upside for HELE.
Helen of Troy's shares have lagged the industry in the past six months. A tough operating landscape, including inflation, increased interest rates and reduced operating leverage acted as downsides in the third quarter of fiscal 2023, wherein top and bottom lines declined year over year. Also, consumption remained low in certain categories. Apart from this, the company witnessed a spike in outbound freight costs, and salary and wage costs. Helen of Troy continued to witness softness in the Beauty segment, wherein core sales are likely to decline in fiscal 2023. Although management raised the lower end of its top and bottom-line view for fiscal 2023, it still suggests a year-over-year decline. That said, contributions from the acquisitions of Osprey and Curlsmith offered some respite in the third quarter. Focus on Project Pegasus also bodes well.
The stock has jumped 11.93% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 2 higher, for fiscal 2023; the consensus estimate has moved up as well.