CNBC Interviews Analyst with a Buy Recommendation on Herbalife
- He is not swayed by Ackman's presentation
- He believes Ackman is defining royalties and overrides in a manner (as a pyramid scheme) that is not accurate.
- In his opinion the royalties and overrides are generated on percentages of real sales and this is not a pyramid scheme.
- He thinks the research referenced by Ackman involved an insignificant amount of product and is not reflective or enough evidence.
- Ackman misses the point that Herbalife is also a service that helps users/members achieve their weight loss goals.