Goldman Sachs reported on Friday that they have increased their rating on nutritional supplement retailer, GNC Holdings Inc(GNC).
The firm has upgraded GNC from “Neutral” to “Buy,” and has increased the company’s price target from $44 to $50. This price target suggests a 18% increase from the stock’s current price of $40.95.
A Goldman Sachs analyst commented, “the story’s underlying appeal relates to wellness exposure / rapid category growth; an emerging global presence in a potent category; heavy private brand representation that protects margins and provides shelter from online incursions; a new marketing campaign; and shareholder-friendly capital allocation.”
GNC shares were up 35 cents, or 0.86% during premarket trading Tuesday. The stock has increased 26% in the past year.
The Bottom Line
Shares of GNC Holdings Inc(GNC) have a 1.48% yield, based on Friday’s closing price of $40.60.
GNC Holdings Inc(GNC) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.