Latest news with #NuSkinEnterprises'
Yahoo
25-05-2025
- Business
- Yahoo
Dividend Investors: Don't Be Too Quick To Buy Nu Skin Enterprises, Inc. (NYSE:NUS) For Its Upcoming Dividend
It looks like Nu Skin Enterprises, Inc. (NYSE:NUS) is about to go ex-dividend in the next 4 days. The ex-dividend date is one business day before the record date, which is the cut-off date for shareholders to be present on the company's books to be eligible for a dividend payment. It is important to be aware of the ex-dividend date because any trade on the stock needs to have been settled on or before the record date. Meaning, you will need to purchase Nu Skin Enterprises' shares before the 30th of May to receive the dividend, which will be paid on the 11th of June. The company's upcoming dividend is US$0.06 a share, following on from the last 12 months, when the company distributed a total of US$0.24 per share to shareholders. Based on the last year's worth of payments, Nu Skin Enterprises stock has a trailing yield of around 3.3% on the current share price of US$7.26. Dividends are an important source of income to many shareholders, but the health of the business is crucial to maintaining those dividends. We need to see whether the dividend is covered by earnings and if it's growing. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. If a company pays out more in dividends than it earned, then the dividend might become unsustainable - hardly an ideal situation. Nu Skin Enterprises reported a loss after tax last year, which means it's paying a dividend despite being unprofitable. While this might be a one-off event, this is unlikely to be sustainable in the long term. Given that the company reported a loss last year, we now need to see if it generated enough free cash flow to fund the dividend. If cash earnings don't cover the dividend, the company would have to pay dividends out of cash in the bank, or by borrowing money, neither of which is long-term sustainable. Luckily it paid out just 18% of its free cash flow last year. View our latest analysis for Nu Skin Enterprises Click here to see how much of its profit Nu Skin Enterprises paid out over the last 12 months. When earnings decline, dividend companies become much harder to analyse and own safely. If business enters a downturn and the dividend is cut, the company could see its value fall precipitously. Nu Skin Enterprises was unprofitable last year and, unfortunately, the general trend suggests its earnings have been in decline over the last five years, making us wonder if the dividend is sustainable at all. Another key way to measure a company's dividend prospects is by measuring its historical rate of dividend growth. Nu Skin Enterprises's dividend payments per share have declined at 16% per year on average over the past 10 years, which is uninspiring. While it's not great that earnings and dividends per share have fallen in recent years, we're encouraged by the fact that management has trimmed the dividend rather than risk over-committing the company in a risky attempt to maintain yields to shareholders. Get our latest analysis on Nu Skin Enterprises's balance sheet health here. Has Nu Skin Enterprises got what it takes to maintain its dividend payments? First, it's not great to see the company paying a dividend despite being loss-making over the last year. On the plus side, the dividend was covered by free cash flow." Bottom line: Nu Skin Enterprises has some unfortunate characteristics that we think could lead to sub-optimal outcomes for dividend investors. Having said that, if you're looking at this stock without much concern for the dividend, you should still be familiar of the risks involved with Nu Skin Enterprises. For example, Nu Skin Enterprises has 2 warning signs (and 1 which can't be ignored) we think you should know about. A common investing mistake is buying the first interesting stock you see. Here you can find a full list of high-yield dividend stocks. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
20-04-2025
- Business
- Yahoo
Nu Skin Enterprises (NYSE:NUS investor three-year losses grow to 86% as the stock sheds US$37m this past week
As every investor would know, not every swing hits the sweet spot. But really big losses can really drag down an overall portfolio. So spare a thought for the long term shareholders of Nu Skin Enterprises, Inc. (NYSE:NUS); the share price is down a whopping 88% in the last three years. That'd be enough to cause even the strongest minds some disquiet. And the ride hasn't got any smoother in recent times over the last year, with the price 58% lower in that time. More recently, the share price has dropped a further 29% in a month. While a drop like that is definitely a body blow, money isn't as important as health and happiness. After losing 12% this past week, it's worth investigating the company's fundamentals to see what we can infer from past performance. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. To quote Buffett, 'Ships will sail around the world but the Flat Earth Society will flourish. There will continue to be wide discrepancies between price and value in the marketplace...' By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. Over the three years that the share price declined, Nu Skin Enterprises' earnings per share (EPS) dropped significantly, falling to a loss. Extraordinary items contributed to this situation. Due to the loss, it's not easy to use EPS as a reliable guide to the business. But it's safe to say we'd generally expect the share price to be lower as a result! The graphic below depicts how EPS has changed over time (unveil the exact values by clicking on the image). It might be well worthwhile taking a look at our free report on Nu Skin Enterprises' earnings, revenue and cash flow. Nu Skin Enterprises shareholders are down 57% for the year (even including dividends), but the market itself is up 7.4%. Even the share prices of good stocks drop sometimes, but we want to see improvements in the fundamental metrics of a business, before getting too interested. Regrettably, last year's performance caps off a bad run, with the shareholders facing a total loss of 12% per year over five years. Generally speaking long term share price weakness can be a bad sign, though contrarian investors might want to research the stock in hope of a turnaround. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. Consider for instance, the ever-present spectre of investment risk. We've identified 2 warning signs with Nu Skin Enterprises (at least 1 which is a bit concerning) , and understanding them should be part of your investment process. For those who like to find winning investments this free list of undervalued companies with recent insider purchasing, could be just the ticket. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
