Bill Ackman has received a lot of attention this year for his huge losses on Valeant Pharmaceuticals Intl Inc VRX, but this week, Ackman has turned his attention to another big losing bet: Herbalife Ltd. HLF 0.25%.

Videos

This week, Ackman is releasing a series of videos presenting what he sees as damning evidence of predatory behavior and a pyramid scheme at Herbalife. He claims that Herbalife pays members more for recruiting other members than for selling the company’s products. Ackman made a $1 billion short bet on Herbalife’s stock back in 2012 and has lost money on the position up to this point.

Herbalife has repeatedly denied Ackman’s accusations, but the FTC opened an investigation into the company’s practices back in 2014. In May, Herbalife said that it was nearing a potential $200 million settlement related to the investigation.

Ackman’s Pershing Square fund was reportedly down 25.6 percent in Q1 of 2016 after it lost 20.5 percent in 2015.

Herbalife’s stocks are…

Click here to continue reading

Want to learn more about how to profit off the stock market? Or maybe you just want to be able to look sophisticated in front of your coworkers when they ask you what you are reading on your Kindle, and you’d prefer to tell them “Oh, I’m just reading a book about stock market analysis,” rather than the usual “Oh, I’m just looking at pics of my ex-girlfriend on Facebook.” For these reasons and more, check out my book, Beating Wall Street with Common Sense. I don’t have a degree in finance; I have a degree in neuroscience. You don’t have to predict what stocks will do if you can predict what traders will do and be one step ahead of them. I made a 400% return in the stock market over five years using only basic principles of psychology and common sense. Beating Wall Street with Common Sense is now available on Amazon, and tradingcommonsense.com is always available on your local internet!