UPDATE: Pivotal Research Initiates Coverage On USANA Health Sciences

Pivotal Research Group initiated a Buy rating on USANA Health Sciences, Inc. (NYSE: USNA) with a $100 price target in a report issued Monday.

Analyst Timothy S. Ramey noted that the company remained "an attractive growth vehicle with impressive top line growth, cash of over $8.50 per share and no debt. Valuation at 12.7x EPS is modest and upside to our target is 25 percent."

Ramey also claimed that "USANA is unique among MLMs – it is trading not far off its 52-week high of $92 set in October 2013. But other than its modest valuation versus historic growth, it has not been caught up in the “anti-MLM” thesis in a meaningful way."

"The major risk to USANA is regulatory – both U.S. and Chinese. Nutritional supplements are highly regulated; the MLM sector is clearly under the microscope by the FTC and others. We are confident that the MLM model USANA operates is legal and ethical, around the world," according to Ramey.

USANA Health Sciences, Inc. recently traded at $82.33, up 2.45 percent.