One-glance verdict
Undervalued
$108.77 our estimate vs market $14.49
Wall Street consensus: $25.00 (-77.0% lower than our fair-value estimate)
87% below our estimate, below the bear case
Fundamentals snapshot
USANA Health Sciences, Inc.
USNA · NYQ · Consumer Defensive · Packaged Foods
Current price
$14.49
52-week range
$12.57 - $30.10
Market cap
$267.72M
Balance sheet
Healthy
60.41x Strong cushion
Net cash $168.56M. Interest coverage shows how many times profit covers the interest bill.
What stands out
1 Reward
2 Risks
1 rewards · 2 risks
- Reward Free cash flow was positive in 10/10 years.
- Risk Operating margin compressed from 10.8% to 4.1% over 3 years.
- Risk Return on equity was -5.1% last year — the company lost money on shareholders' equity.
What this company does
USANA Health Sciences, Inc.
USANA Health Sciences makes and sells nutritional supplements, weight-management foods, and skincare products around the world. The company's business is built on a direct selling model, meaning it relies on a large network of independent salespeople to sell its products directly to customers rather than in traditional stores. Therefore, USANA's financial success is closely linked to its ability to recruit, retain, and motivate this global sales force.
How the company got here
USANA was started in 1992 by Dr. Myron Wentz, a scientist who specialized in microbiology and immunology. The company was built on the idea of selling high-quality, science-based nutritional supplements. From the beginning, it used a direct selling model (a method of selling products directly to consumers outside of a traditional retail store), relying on a network of independent sellers. Over the years, USANA expanded into countries around the world, with the Asia-Pacific region becoming its largest market. A key recent change was its 2024 purchase of a majority stake in Hiya, a company that sells children's vitamins directly to parents online.
What it actually does
USANA develops and sells a range of health and wellness products that an everyday shopper might look for. This includes vitamins and nutritional supplements for adults and children, meal replacement shakes and snack bars for weight management, and a line of skincare products. The company's core idea is to provide products that support health at the cellular level. You won't find these items in typical retail stores; they are sold through the company's specific channels.
Direct Selling
This is USANA's original and main way of doing business, making up the vast majority of its sales. Instead of selling through stores, the company uses a large network of independent distributors (people the company calls 'Associates' or 'Brand Partners') to sell products directly to customers. These distributors earn commissions (a percentage of the sale price) on the products they sell and can also earn money based on the sales of other distributors they recruit into the network. Customers can also sign up as 'Preferred Customers' to buy products for themselves directly from the company.
Direct-to-Consumer Brands
This is a new and growing part of the company that sells products directly to customers online, without a salesperson in the middle. The most important brand here is Hiya, which sells children's vitamins using a subscription model (an arrangement where customers sign up to automatically receive and pay for products on a regular basis). This part of the business allows USANA to reach a different set of customers who prefer shopping online. While currently a small slice of the company, it is a key piece of its plan for future growth.
What management is betting on now
The company's leadership is focused on a strategy of doing two things at once. They are working to stabilize and grow their core direct-selling business by attracting more customers and distributors globally. At the same time, they are investing in their newer direct-to-consumer online brands to diversify their revenue (the total money a company brings in from sales). This dual approach is part of a broader goal to create an 'omni-channel' business, meaning they can reach customers in multiple ways. Management is also focused on creating new products and growing in its key international markets, especially in China.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2025 Q3
$27.14M
FY2025 Q4
$3.98M
FY2026 Q1
$12.68M
FY2026 Q2
$7.19M
FY2026 Q3
$-5.16M
FY2026 Q4
$-6.18M
FY2027 Q1
$7.11M
FY2027 Q2
$20.16M
Revenue
$223.27M
Net income
$-21.38M
Diluted EPS
-1.16
Operating cash flow
$23.32M
Free cash flow
$20.16M
Fetching…
Sources
Revenue
$250.22M
Net income
$7.51M
Diluted EPS
0.41
Operating cash flow
$9.76M
Free cash flow
$7.11M
Fetching…
Sources
Revenue
$226.20M
Net income
$-1.77M
Diluted EPS
-0.07
Operating cash flow
$-3.39M
Free cash flow
$-6.18M
Fetching…
Sources
Revenue
$213.67M
Net income
$-6.52M
Diluted EPS
-0.36
Operating cash flow
$-1.96M
Free cash flow
$-5.16M
Fetching…
Sources
Revenue
$235.85M
Net income
$9.65M
Diluted EPS
0.52
Operating cash flow
$12.22M
Free cash flow
$7.19M
Fetching…
Sources
Revenue
$249.54M
Net income
$9.40M
Diluted EPS
0.49
Operating cash flow
$15.48M
Free cash flow
$12.68M
Fetching…
Sources
Revenue
$213.61M
Net income
$4.45M
Diluted EPS
0.23
Operating cash flow
$5.79M
Free cash flow
$3.98M
Fetching…
Sources
Revenue
$200.22M
Net income
$10.61M
Diluted EPS
0.56
Operating cash flow
$29.53M
Free cash flow
$27.14M
Fetching…
Sources
Is it cheap or expensive?
Fair value $108.77 vs current price $14.49
Wall Street consensus is the average analyst price target: $25.00 (-77.0% lower than our fair-value estimate).
Our most-likely fair value is $108.77 a share — about 650.7% above today's price of $14.49, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Healthy
Net cash $168.6M - more cash than debt. Interest coverage 60.4x.
Net debt
$-168.56M
Interest coverage
60.41x
USANA Health Sciences, Inc.'s profit covers its interest bill about 60.4 times over. which is stronger than most peers shown here and 1 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Healthy
Worse cushion
Baseline
Better cushion
USNA
BASELINE
USANA Health Sciences, Inc.
Total debt $0.00 Interest coverage 60.41x This is the baseline the peer rows are being compared against.
Total debt $288.10M Interest coverage 6.52x -89% vs USNA Carries about 9.3x less debt cushion than USNA.
Total debt $21.43M Interest coverage 252.48x +318% vs USNA Carries about 4.2x more debt cushion than USNA.
Total debt $2.20B Interest coverage 2.24x -96% vs USNA Carries about 26.9x less debt cushion than USNA.
Total debt $27.62M Interest coverage -20.28x -100% vs USNA This peer has almost no interest-payment cushion compared with USNA.
Total debt $9.87M Interest coverage 610.00x +910% vs USNA Carries about 10.1x more debt cushion than USNA.
What you should know
The case for and against USNA
1 Reward
2 Risks
Rewards
-
Free cash flow was positive in 10/10 years.
Risks
-
Operating margin compressed from 10.8% to 4.1% over 3 years.
-
Return on equity was -5.1% last year — the company lost money on shareholders' equity.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
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Forward P/E
8.19x
P/B
0.51x
P/S
0.29x
EV/EBITDA
1.86x
PEG ratio
0.67x
Profitability
How much profit each dollar creates
Gross margin
77.4%
Operating margin
4.1%
Net margin
-2.4%
ROE
-5.1%
ROA
3.6%
Health
Liquidity and balance-sheet strength
Debt / equity
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Current ratio
2.66x
Quick ratio
1.63x
Total debt
$0.00
Total cash
$168.56M
Growth
How the business has been compounding
Revenue TTM
$913.36M
Revenue 5Y CAGR
-3.4%
EPS TTM
-1.18
EPS 5Y CAGR
-45.5%
Cash flow
How much cash the business throws off
Operating CF TTM
$27.73M
Free CF TTM
$8.53M
FCF margin
0.9%
Dividend
Shareholder payout
Yield
—
Payout ratio
0.0%
Last ex-div date
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