Nature’s Sunshine Products just reminded investors that even a strong quarter can punish a stock. The shares fell almost 20% today, even as the company reported its strongest Q2 net sales on record at US$117.0 million and gross margin of 73.7%. The clash is clear. A premium margin personal products business that has been priced as a quality compounder has now run into trimmed full year guidance and rising investment in its growth plan. The gap between that long term thesis and this quarter’s reset is what the market is pricing in today.

Is Nature’s Sunshine Products now a genuine bargain after a 20% drop, or just a stock with slowing revenue expectations and a tricky earnings history? See how the current price compares against our