Report

Direct Sellers Mid-Year Check-In

We have done a lot of work over the years on those companies deploying a direct selling business model. We periodically like to check in on how current trends for the group are progressing. Market expectations for direct sellers remain low, and in fact, may be pivoting toward an inflection point as valuations have bounced off historical lows despite numbers continuing to come down meaningfully. Currency headwinds, while still there, appear to be moderating from the large hits suffered in 2022. China, once the second-largest direct selling market after the US, appears to be on the verge of potentially reversing a five-year period of sharp contraction. Margins are recovering from the post-pandemic wave of inflation. Top-line growth remains elusive. Any return to sustainable top-line growth could be powerful catalyst for these names.
Provider
Water Tower Research
Water Tower Research

​Water Tower Research is built on the foundation of democratizing information flow. We bridge the growing information gap between companies and investors through our investor engagement strategies and open-access research platform.

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Analysts
Doug Lane

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