NEW YORK, NY - MARCH 28: Traders work on the floor of the New York Stock Exchange on March 28, 2014 in New York City. The Dow Jones industrial avererage was up over 100 points in afternoon trading. (Photo by Spencer Platt/Getty Images)

GNC trades as part of the retail defensive industry and is part of the consumer defensive sector. GNC Inc is a health and wellness products retailer. Its product offering includes health and wellness products such as vitamins, herbal supplements, sports nutrition products, and diet products.



Previous Intraday Performance:

The GNC shares had a previous change of 2.24% which opened at 2.68 and closed at 2.74. It moved to an intraday high of 2.76 and a low of 2.64.

SeekingAlpha:  Our GNC Option Strategy: A Successful Failure

Historical Performance:

Over the last five trading days, GNC shares returned 3.01% and in the past 30 trading days it returned -3.18%. Over three months, it changed 13.69%. In one year it has changed -31.50% and within that year its 52-week high was 4.65 and its 52-week low was 2.14. GNC stock is 28.04% above its 52 Week Low.

Our calculations result in a 200 day moving average of 3.24 and a 50 day moving average of 2.86. Right now, GNC stock is trading -15.42% below its 200 day moving average and may not be a great opportunity to buy as it may continue to trend down.

SeekingAlpha:  Our GNC Option Strategy: A Successful Failure

Liquidity:

The company has a market cap of $230.1m with 84.0m shares outstanding and a float of 80.6m shares. Trading volume was 1,104,069 shares and has experienced an average volume of 1,969,774 shares. Our calculation, using the current average volume and close price, leads me to believe that the liquidity is bad, highly speculative and an investor may want to avoid this stock.

Earnings:

The last annual reported EPS for GNC was 0.81 which ended on 31st of December 2018, which according to the previous close, that is a PE of 3.38. Based on 1 analyst estimate, the estimated EPS for the next quarter is 0.02. The trailing twelve month EPS is 0.33, which comes to a trailing twelve month PE of 8.30.

Below was the last reported quarterly earnings per share:
12-31-2018:  -0.13
09-30-2018:  0.02
06-30-2018:  0.20
03-31-2018:  0.24

Base on our calculations, the intrinsic value per share is 16.87, which means it might be undervalued and has a margin of safety of 83.76%

The next earnings report will be: 03-27-2019



The long-term trend of the EPS is an important number as it indicates the present value of GNC; it is typically displayed as a percentage and called the EPS growth rate, which is 29.00%.

Indicators Also to Watch:

Based on the latest filings, there is 4.00% of insider ownership and 86.10% of institutional ownership. Short-interest was 17,921,568, which was 21.34% of shares outstanding. The short-interest ratio or days-to-cover ratio was 17.48. This stock has a high level of short interest and may fall in value in the near term.

I calculated the beta to be 0.94

Business Wire:  CynergisTek, Inc. Sells Managed Print Services Business to Vereco, LLC for $30 Million

Fundamental Numbers:

Based on last reported financials, the company’s return on assets is 4.58%, profit margin is 2.96%, price-to-sales is 0.10 and price-to-book is 1.72.

Company Score Card:

Results are out of six:
 0  : Growth Expectations Result
 1  : Financial Safety Result
 1  : Past Performance Result
 4  : Valuation Result
 0  : Dividend Safety Result
 1  : Overall Result

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Jake McWilliams
I am an independent trader, analyst and algorithmic trading expert, having worked both for the sell side (brokerage) and the buy side (fund administration). I have been trading professionally for about 20 years. I trade stocks and forex and I play both long and short positions in underlying asset or through options. I have experience with discretionary and fully automated systems (Metatrader and Quantshare).

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