As of today, Thursday, March 2nd, Nu Skin Enterprises (as the company is formally known) takes its place on the S&P MidCap 400. In doing so, Nu Skin replaces real estate company Equity One on the list.
Looking back over 2016, Nu Skin president and CEO Truman Hunt explains in a recent press release that "for the year, we were pleased to generate continued improvement in local currency revenue results. We made significant progress executing our 2016 priorities, including growing in China, successfully launching our ageLOC Me and ageLOC Youth products, and finalizing development of our upcoming LumiSpa product.”
Hunt goes on to say that the company believes “these steps have positioned us for growth in 2017 and beyond. We are excited by the opportunities ahead, which we believe will create value for our shareholders.”
All this despite the fact that the company’s 2016 numbers were down from the previous year: 2016 reported revenue came in at $2.21bn, while 2015 revenue was reported at $2.25bn.
Big business is listed on the S&P 500. So beauty and personal care companies including Estée Lauder, Coty, and P&G are there.
The MidCap 400 comprises smaller companies. As Dow Jones describes it on their site, “the S&P MidCap 400 provides investors with a benchmark for mid-sized companies. The index, which is distinct from the large-cap S&P 500, measures the performance of mid-sized companies, reflecting the distinctive risk and return characteristics of this market segment.”
Nu Skin joins the ranks of Edgewell Personal Care and Avon Products on the MidCap 400. In fact, it was this same time two years ago when Avon fell off the S&P 500 and landed squarely among smaller industry players.
It’s worth noting that both Avon and Nu Skin are direct-sales, or social-selling, companies. Nu Skin’s spot on the MidCap 400 may be a good signal for Avon as the company rebuilds both its global brand and its North American business. For the time being the two Avon businesses are separate companies. But once New Avon, the North American entity, becomes reliably profitable again, the full company may consolidate and regain its place in the market.