Billionaire Seth Klarman’s 10 Stock Picks with Huge Upside Potential

3. Herbalife Ltd. (NYSE:HLF)

Upside Potential as of April 29: 57.42%

Baupost Group’s Stake Value: $50,848,000

Herbalife Ltd. (NYSE:HLF) is a global health and wellness company. It offers products like protein shakes, meal replacements, and nutritional supplements. The primary target includes people with a healthy and active lifestyle.

Herbalife (NYSE:HLF) posted net sales of $1.2 billion (down 0.6% year-over-year) in Q4 2024. Still, the figure was at the high end of its guidance range. For the full year 2024, net sales were $5.0 billion, down 1.4% compared to 2023 but up 1.2% on a constant currency basis. The company significantly improved its financial position, with Q4 adjusted EBITDA of $150.0 million exceeding guidance. Herbalife (NYSE:HLF) also reduced its total leverage ratio to 3.2x by the end of fiscal year 2024.

On April 25, 2025, the company welcomed Lynda Cloud to its Board of Directors. Cloud brings nearly 30 years of leadership experience in the education, technology, and health sectors. Her expertise in digital learning, consumer experience, and scalable education is expected to support Herbalife’s (NYSE:HLF) strategic priorities. On March 25, 2025, DA Davidson reaffirmed its Buy rating on Herbalife (NYSE:HLF) with a price target of $14.00. Analyst Linda Bolton Weiser highlighted the company’s potential for a turnaround, driven by the new CEO’s strategic initiatives.