12 Best Hair Care Stocks to Buy According to Hedge Funds

8. Nu Skin Enterprises, Inc. (NYSE:NUS)

Number of Hedge Fund Holders: 27

Nu Skin Enterprises, Inc. (NYSE:NUS) is an integrated wellness and beauty company that develops and markets an elaborate range of products in around 50 markets worldwide. It has three brands: Nu Skin, Pharmanex, and ageLOC. Nu Skin is a beauty brand, while Pharmanex and ageLOC are wellness and anti-aging brands, respectively. The company offers various hair care products, including serums, shampoos, conditions, hair masks, and more.

On January 3, the company announced the completion of a strategic transaction between its Rhyz Inc. subsidiary and Later, a portfolio company of Summit Partners. Rhyz Inc. sold Mavely, its affiliate marketing technology platform, to Later for approximately $250 million cash and a minority equity stake in the combined Later/Mavely business. Mavely is anticipated to continue offering certain technology and social commerce abilities to support Nu Skin Enterprises, Inc.’s (NYSE:NUS) affiliate marketing business.

This strategic transaction gave the company around five times the return on its cumulative investments in Mavely since its acquisition in 2021. The proceeds from this transaction are expected to help Nu Skin Enterprises, Inc. (NYSE:NUS) fund innovation in its offerings and pay down debt. The company also plans to use its strengthened balance for share buybacks under its existing stock repurchase program, providing value to its shareholders. The company ranks eighth among the 12 best hair care stocks.