Forbes.com:
Shares of several direct sellers of retail products slipped on Monday, as an analyst warned the stocks may head lower amid a swine flu outbreak in Mexico, an important market for Avon Products Inc., Tupperware Brands Corp. and Herbalife Ltd.
The number of suspected swine flu cases in Mexico has climbed to 1,614, including as many as 103 deaths, while the number of confirmed cases in the United States has risen to 40, according to the World Health Organization.
Jefferies analyst Douglas M. Lane said cosmetics company Avon Products, household products maker Tupperware and nutritional supplements maker Herbalife each collect between 10 percent and 15 percent of international sales from Mexico.
“While we don’t have enough information yet to quantify the fundamental impact to these companies, if any, multiples on those stocks may come in a bit given the increased near-term uncertainty in that important market,” Lane wrote in a client note.
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