USANA Looks Like An Undervalued Turnaround Stock

Eric Novinson263 FollowersFollow5ShareSavePlay(11min)CommentsSummaryUSANA Health Sciences is executing a strategic pivot from its declining MLM core to high-growth brands Hiya and Rise Wellness.Hiya’s Disney collaboration and subscription model drive projected 23% revenue growth, while Rise Wellness secures major retail distribution for Protein Pop.USNA trades at a significant valuation discount (EV/EBITDA 2.67), with a projected 2026 target price of $24.33—25% above current levels.I rate USNA a buy, as growth segments and a strong balance sheet outweigh risks from the MLM decline and business model transition. Viktoriia Kokhanevych /iStock via Getty Images USANA Health Sciences (USNA) is in the middle of a turnaround. USANA’s main business segment, its MLM, may be in permanent decline. In general, MLMs aren’t doing very well right now. So, like other MLMs, the company is pivoting. USANA hasThis article was written byEric Novinson263 FollowersFollowI am a freelance business writer. I formerly wrote articles for the Motley Fool Blogging Network, where I won several editor's choice awards. After that, I wrote articles for the main Motley Fool site. I typically focus on restaurants, retailers, and food manufacturers, considering both growth opportunities and valuation metrics. I usually look for long term investment opportunities and plan to hold stocks for several years.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.