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Is this the 'single best idea' of 2014?

Shares of Herbalife are up on the first trading day of 2014 as analyst Timothy Ramey of DA Davidson calls the stock his "single best idea" for 2014. Ramey writes:

"Herbalife was our 'single-best-idea' for 2013, and the shares performed well, up 139%.... As we survey our coverage, nothing looks as compelling for 2014 as Herbalife."

Ramey has drawn fire in the past from fund manager Bill Ackman of Pershing Square for being bullish on the "nutrition supplement" maker. Ackman took on a $1 billion short position on Herbalife at the end of 2012. On the other side of that trade was activist investor Carl Icahn, who owns 16% of the company. Joining Icahn as shareholders are the likes of George Soros and Bill Stiritz.

(Read: Ackman sticks with Herbalife short sale, promises new information in 2014)

On CNBC's Street Signs' Talking Numbers segment, Pat Dorsey, president of Sanibel Captiva Investment Advisors, says there's a lot going for Herbalife but it may not be the time to jump in.

"What's interesting is that even though it's up 140% the past year, it's still not that expensive at only about 16 times earnings and about a 7% cash return," says Dorsey. "It's a very profitable asset-like business model, very cash generative."

However, Dorsey isn't ready to get involved in this stock. "If you're long this stock, you're caught between two guys with big bank accounts and even bigger egos," says Dorsey. "I'm not sure which way that plays out. I'll watch on the sidelines."

(Read: Bill Ackman: Herbalife's bad practices continue)

Katie Stockton, Chief Technical Strategist at BTIG, says the Herbalife is a buy based on the technicals but larger market issues means a buy doesn't have to happen right away.

Stockton notes the Herbalife shares were up with the general market since 2009, only to hit what she sees as a "corrective phase" starting in 2012 when Ackman first made his case for shorting the stock. Since then the stock rebounded and then some.

"It got above resistance at its 2012 high, which was about $73," says Stockton. "That, of course, can become support going forward."

Though Stockton says the technicals are pointing towards a $90 price target, it can wait a couple of weeks.

"I think that the market could consolidate a little mid-month," says Stockton. "I don't think there's a rush to do it today, and yet it's not a trend to fight."

To see the rest of Dorsey and Stockton on Herbalife, watch the video above.

More from Talking Numbers:

Why you should date Apple, not marry it: Portfolio manager
Strategist: Here's why you can expect 2,000 in the S&P in 2014
Is one of the best trades of 2013 also good for 2014?

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