Blackmores Limited shares hit a 52-week high

Credit: Blackmores

Although it finished the day in the red, at one stage the Blackmores Limited (ASX: BKL) share price climbed to a 52-week high of $178.00 on Friday.

Why are Blackmores’ shares at a 52-week high?

Investors have been fighting to get hold of shares since the health supplements company released its quarterly update in October.

That update revealed that the company has returned to growth in the first-quarter with net sales of $134 million and net profit after tax of $15.4 million.

This was a 9% and 28% increase, respectively, on the prior corresponding period.

A key driver of this growth was demand from Chinese consumers. Direct China sales increased 28% on the prior corresponding period.

This strong run does, however, mean that Blackmores’ shares are now changing hands at almost 42x estimated forward earnings.

Bill Gates Says This Could Be Worth “10 Microsofts”

If You Missed Investing In Microsoft in 1996 – Read This

I can’t believe so many investors haven’t heard about something Microsoft founder Bill Gates told a group of college students in 2004.

This could be your chance to get in on the ground floor!

Click here to discover more!

Motley Fool contributor Motley Fool Staff has no position in any stocks mentioned. The Motley Fool Australia owns shares of Blackmores Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Two New Stock Picks Every Month!

Not to alarm you, but you’re about to miss a very important event! Chief Investment Advisor Scott Phillips and his team at Motley Fool Share Advisor are about to reveal their latest official stock recommendation. The premium “buy alert” will be unveiled to members and you can be among the first to act on the tip.

Don’t let this opportunity pass you by – this is your chance to get in early!

Simply enter your email now to find out how you can get instant access.

By clicking this button, you agree to our Terms of Service and Privacy Policy. We will use your email address only to keep you informed about updates to our website and about other products and services we think might interest you. You can unsubscribe from Take Stock at anytime. Please refer to our Financial Services Guide (FSG) for more information.