Analyzing Natural Health Trends (NHTC) and Its Peers

Dividends

Natural Health Trends pays an annual dividend of $0.80 per share and has a dividend yield of 18.0%. Natural Health Trends pays out 1,600.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “CONSM PD – MISC DIS” companies pay a dividend yield of 3.2% and pay out 71.9% of their earnings in the form of a dividend.

Valuation and Earnings

This table compares Natural Health Trends and its competitors top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Natural Health Trends	$42.96 million	$570,000.00	89.00
Natural Health Trends Competitors	$2.74 billion	$125.74 million	3.37

Natural Health Trends’ competitors have higher revenue and earnings than Natural Health Trends. Natural Health Trends is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Insider and Institutional Ownership

10.1% of Natural Health Trends shares are held by institutional investors. Comparatively, 40.3% of shares of all “CONSM PD – MISC DIS” companies are held by institutional investors. 13.3% of Natural Health Trends shares are held by company insiders. Comparatively, 22.2% of shares of all “CONSM PD – MISC DIS” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Natural Health Trends and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Natural Health Trends	1.18%	1.48%	0.89%
Natural Health Trends Competitors	-0.12%	0.85%	0.63%

Volatility & Risk

Natural Health Trends has a beta of 0.64, suggesting that its stock price is 36% less volatile than the S&P 500. Comparatively, Natural Health Trends’ competitors have a beta of -0.49, suggesting that their average stock price is 149% less volatile than the S&P 500.

Summary

Natural Health Trends beats its competitors on 6 of the 11 factors compared.

Natural Health Trends Company Profile

Natural Health Trends Corp., a direct-selling and e-commerce company, provides personal care, wellness, and lifestyle products under the NHT Global brand. The company offers wellness products, including liquid, encapsulated, tableted and powder dietary and nutritional supplements, vitamins, and minerals; and herbal products comprising herbal supplements. It also provides beauty products, such as age-defying and hydrating cleansers, creams, lotions, serums, and toners; and lifestyle products, which include weight management and energy enhancing supplements, as well as topical gels. In addition, the company offers home appliances; and daily products, such as oral care, hair care, and body care. It sells its products directly to consumers, as well as through an e-commerce retail platform in the United States, Canada, Cayman Islands, Mexico, Peru, Hong Kong, Taiwan, China, Singapore, Malaysia, Thailand, South Korea, Japan, India, Russia, Kazakhstan, and Europe. The company was formerly known as Florida Institute of Massage Therapy, Inc. and changed its name to Natural Health Trends Corp. in June 1993. Natural Health Trends Corp. was incorporated in 1988 and is headquartered in Tsim Sha Tsui, Hong Kong.