Nature's Sunshine Products (NATR) AI Stock Analysis

• Market Cap: $272.88M
• Dividend Yield: N/A
• Average Volume (3M): 64.07K
• Price to Earnings (P/E): 27.8
• Beta (1Y): 0.66
• Revenue Growth: 2.00%
• EPS Growth: -37.09%
• Country: US
• Employees: 819
• Sector: Consumer Defensive
• Sector Strength: 72
• Industry: Packaged Foods
• EPS (TTM): 0.25
• Shares Outstanding: 18,350,801
• 10 Day Avg. Volume: 57,855
• 30 Day Avg. Volume: 64,067
• PEG Ratio: 0.78
• Price to Book (P/B): 1.70
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 15.75
• Enterprise Value/Market Cap: 0.74
• Enterprise Value/Revenue: 0.11
• Enterprise Value/Gross Profit: 0.61
• Enterprise Value/Ebitda: 1.50
• 1Y Price Target: $20.00
• Price Target Upside: 34.41% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

Nature's Sunshine Products displays strong financial health, robust cash flow, and a stable balance sheet, contributing to a solid foundation in the packaged foods industry. The stock exhibits positive technical momentum, although it's nearing overbought levels. Valuation is less attractive due to a high P/E ratio and no dividend yield, but recent earnings results and strategic expansion efforts in key markets provide reasons for optimism. Challenges in North America and macroeconomic uncertainties are noted, but overall, the stock is well-positioned for future growth.

Positive Factors

Digital Sales Growth

The digital channel continued to see strong results with sales up +19%.

Gross Margin

Gross margin increased to 72.1%, driven by price increases and cost-saving initiatives.

Share Repurchase

A $25M share repurchase authorization underscores Board confidence.

Negative Factors

North American Sales

In North America, sales were down slightly due to weaker-than-anticipated customer activations.

Tariff Impact

Tariffs could potentially have a $2-3M headwind to gross margin in FY25.

Nature's Sunshine Products Business Overview & Revenue Model

Company Description

Nature's Sunshine Products, Inc., a natural health and wellness company, primarily manufactures and sells nutritional and personal care products in Asia, Europe, North America, Latin America, and internationally. It offers general health products related to blood sugar support, bone health, cellular health, cognitive function, joint health, mood, sexual health, sleep, sports and energy, and vision. The company also provides immunity, cardiovascular, and digestive products; and personal care products, such as oils and lotions, aloe vera gels, herbal shampoos, herbal skin treatment, toothpaste, and skin cleansers, as well as weight management products. It offers its products under the Nature's Sunshine and Synergy WorldWide brands through a sales force of independent consultants. The company was founded in 1972 and is headquartered in Lehi, Utah.

How the Company Makes Money

Nature's Sunshine Products generates revenue primarily through the sale of its nutritional and personal care products. The company employs a multi-channel distribution strategy, which includes direct sales through a network of independent distributors and direct-to-consumer sales via e-commerce platforms. This diversified approach allows the company to reach a broad customer base both domestically and internationally. Additionally, Nature's Sunshine has established strategic partnerships and alliances to enhance its market presence and expand its product offerings. The company's focus on quality and efficacy contributes to brand loyalty and repeat purchases, which are significant drivers of its revenue.

Nature's Sunshine Products Financial Statement Overview

Summary

Nature's Sunshine Products exhibits solid financial health characterized by steady revenue growth, strong cash flow generation, and a stable balance sheet. While profitability metrics show room for enhancement, the company's low debt levels and efficient cash management provide a strong foundation for future growth. The consistent performance across financial statements demonstrates resilient operations in the packaged foods industry.

Income Statement

Nature's Sunshine Products shows strong financial performance with consistent revenue growth and profitability. The TTM revenue growth rate of 0.50% indicates a steady increase in sales compared to the previous year. The gross profit margin remains robust at 71.67%, while the net profit margin improved slightly to 2.22%. Both EBIT and EBITDA margins are healthy at 4.74% and 7.46%, respectively, demonstrating efficient operations. However, the net profit margin is relatively low, suggesting room for improvement in cost management.

Balance Sheet

The company's balance sheet is stable with a low debt-to-equity ratio of 0.09, indicating minimal reliance on debt financing. Return on equity (ROE) is modest at 6.28%, reflecting moderate profitability relative to shareholder equity. The equity ratio is strong at 63.84%, signifying solid financial positioning and low leverage. Although the balance sheet is healthy, the growth in equity is gradual, indicating potential for further strengthening.

Cash Flow

Cash flow metrics for Nature's Sunshine Products are strong, with a significant free cash flow growth rate of 20.92%. The operating cash flow to net income ratio is 2.54, highlighting efficient cash generation relative to earnings. Additionally, the free cash flow to net income ratio of 1.71 indicates robust cash flow management, allowing for potential reinvestment or dividend distributions. The cash position is well-managed, contributing to financial flexibility.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
456.62M	454.36M	445.32M	421.91M	444.08M	385.20M
	Gross Profit
327.31M	324.69M	321.13M	299.76M	328.62M	283.93M
	EBIT
21.64M	20.09M	18.75M	16.26M	34.67M	21.48M
	EBITDA
34.06M	32.79M	32.09M	27.28M	45.83M	32.23M
	Net Income Common Stockholders
10.12M	7.70M	15.08M	550.00K	28.85M	21.34M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
86.49M	84.70M	82.37M	60.03M	86.18M	92.07M
	Total Assets
252.70M	240.85M	249.77M	229.78M	258.87M	249.50M
	Total Debt
14.85M	14.20M	14.92M	19.18M	22.99M	26.33M
	Net Debt
-71.64M	-70.50M	-67.45M	-40.85M	-63.20M	-65.74M
	Total Liabilities
85.60M	79.86M	90.23M	82.73M	97.47M	92.26M
	Stockholders Equity
161.28M	155.31M	154.06M	142.91M	158.20M	155.39M
Cash Flow		Free Cash Flow
17.32M	14.33M	30.75M	-6.92M	27.94M	32.75M
	Operating Cash Flow
25.72M	25.30M	41.23M	710.00K	34.61M	37.66M
	Investing Cash Flow
-8.39M	-10.97M	-10.48M	-7.63M	-6.61M	-4.91M
	Financing Cash Flow
-10.74M	-9.90M	-7.96M	-16.25M	-31.72M	3.88M

Nature's Sunshine Products Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14.88
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NATR, the sentiment is Positive. The current price of 14.88 is above the 20-day moving average (MA) of 13.04, above the 50-day MA of 12.74, and above the 200-day MA of 13.90, indicating a bullish trend. The MACD of 0.66 indicates Negative momentum. The RSI at 71.89 is Negative, neither overbought nor oversold. The STOCH value of 78.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NATR.

Nature's Sunshine Products Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NATR	77 Outperform	$272.88M	27.78	6.42%	―	2.00%	-37.09%
LFVN	70 Outperform	$168.56M	19.18	30.11%	1.19%	8.22%	159.71%
MAMA	69 Neutral	$257.53M	72.95	16.69%	―	19.41%	-43.88%
FTLF	66 Neutral	$129.50M	15.19	25.89%	―	9.14%	18.87%
Sector *	64 Neutral	$8.82B	14.70	4.78%	173.90%	3.26%	2.11%
LSF	58 Neutral	$72.61M	―	-7.38%	―	25.04%	87.51%
HAIN	43 Neutral	$177.80M	―	-31.83%	―	-8.50%	-186.18%

Nature's Sunshine Products Corporate Events

Nature’s Sunshine Products 2025 Shareholders Meeting Outcomes

Nature’s Sunshine Products held its 2025 Annual Meeting of Shareholders on April 30, 2025, where shareholders voted on several key proposals. The shareholders elected all nominated directors, approved an advisory resolution on executive officer compensation, and ratified the appointment of Deloitte & Touche LLP as the independent registered public accounting firm for 2025.

Spark’s Take on NATR Stock

According to Spark, TipRanks’ AI Analyst, NATR is a Neutral.

Nature’s Sunshine Products receives a moderate overall stock score. While the company demonstrates robust profitability and strong market performance in Asia-Pacific and digital channels, it faces significant challenges with declining North America sales, increased SG&A expenses, and macroeconomic uncertainties. The stock’s technical indicators suggest bearish trends, and its high P/E ratio denotes overvaluation, which contributes to the overall cautious outlook.

To see Spark’s full report on NATR stock, click here.

Nature’s Sunshine Products Announces Executive Salary Increases

On March 4, 2025, Nature’s Sunshine Products announced salary increases for key executives. The Chief Financial Officer, Mr. L. Shane Jones, received a salary increase from $460,000 to $478,400, and the Executive Vice President, Global Supply Chain, Mr. Martin Gonzalez, had his salary raised from $390,000 to $405,600. These adjustments reflect the company’s commitment to retaining top talent and may impact its operational costs.