Natural Health Trends Announces Repurchase of All Outstanding Broady Shares

Rhea-AI Summary

Natural Health Trends (NASDAQ: NHTC) agreed to repurchase all common shares held by the George K. Broady family: 2,935,227 shares (about 25.5% outstanding) for an aggregate of approximately $5.9 million at $2.00 per share.

The repurchase was funded from cash on hand, reduces shares outstanding to 8,577,848, and was effected under the company’s $70.0 million repurchase program, leaving about $16.0 million available. Annual dividend requirements are expected to decline by about $1.2 million.

Positive

• Repurchased 2,935,227 shares (~25.5% of outstanding)
• Aggregate purchase price of $5.9 million at $2.00 per share
• Shares outstanding reduced to 8,577,848
• Approximately $16.0 million remaining in the $70.0 million repurchase program
• Expected annual dividend savings of ~$1.2 million

Negative

• Used $5.9 million of cash on hand for the repurchase
• Repurchase removes a large 25.5% block from shareholder base, potentially reducing public float and liquidity

News Market Reaction – NHTC

-2.10%

12 alerts

-2.10% News Effect

-11.3% Trough in 9 hr 38 min

-$877K Valuation Impact

$41M Market Cap

1.2x Rel. Volume

On the day this news was published, NHTC declined 2.10%, reflecting a moderate negative market reaction. Argus tracked a trough of -11.3% from its starting point during tracking. Our momentum scanner triggered 12 alerts that day, indicating notable trading interest and price volatility. This price movement removed approximately $877K from the company's valuation, bringing the market cap to $41M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Broady family stake: 2,935,227 shares Stake as % outstanding: 25.5% Aggregate purchase price: $5.9 million +5 more

8 metrics

Broady family stake 2,935,227 shares Shares beneficially owned before repurchase

Stake as % outstanding 25.5% Portion of outstanding shares held before transaction

Aggregate purchase price $5.9 million Total consideration for repurchasing Broady family shares

Repurchase price $2.00 per share Price paid for the repurchased shares

Post-deal shares o/s 8,577,848 shares Common stock outstanding after repurchase

Repurchase program size $70.0 million Previously announced share repurchase program

Remaining authorization $16.0 million Expected capacity left under repurchase program after this deal

Dividend reduction $1.2 million annually Expected lower annual dividend outlay from reduced share count

Market Reality Check

Price: $3.32 Vol: Volume 41,017 is 1.22x th...

normal vol

$3.32 Last Close

Volume Volume 41,017 is 1.22x the 20-day average of 33,668 shares. normal

Technical Shares trade below the 200-day MA of 4.15, at a pre-news price of 3.74.

Peers on Argus

Peers showed mixed moves: names like OCG and DIBS were down, while BZUN and MOGU...

1 Up

Peers showed mixed moves: names like OCG and DIBS were down, while BZUN and MOGU were up, indicating stock-specific factors for NHTC rather than a broad internet retail move.

Historical Context

4 past events · Latest: Feb 04 (Negative)

Pattern 4 events

Date	Event	Sentiment	Move	Catalyst
Feb 04	Earnings results	Negative	+6.7%	Q4 2025 revenue decline and net loss with restructuring savings.
Jan 28	Earnings date	Neutral	-1.3%	Announcement of timing and access details for Q4 2025 results call.
Nov 05	Earnings results	Negative	-23.3%	Q3 2025 revenue decline, operating loss, and announced restructuring plan.
Oct 29	Earnings date	Neutral	-0.3%	Scheduling and dial-in details for Q3 2025 results and conference call.

Pattern Detected

Earnings-related news has produced mixed reactions, with one positive move on weak results but a sharp selloff on a later earnings report.

Recent Company History

Recent news for NHTC has focused on financial performance and capital returns. On Nov 5, 2025, the company reported Q3 2025 results with revenue declines and an operating loss, and the stock fell 23.29%. A later earnings release on Feb 4, 2026 showed Q4 2025 revenue of $9.7 million and a net loss, yet shares rose 6.67%. Multiple releases also highlighted conference calls and ongoing dividends. Today’s large block repurchase fits into this pattern of shareholder-return and balance sheet actions following periods of modest losses.

Market Pulse Summary

This announcement highlights a negotiated repurchase of 2,935,227 shares at $2.00, shrinking outstan...

Analysis

This announcement highlights a negotiated repurchase of 2,935,227 shares at $2.00, shrinking outstanding shares to 8,577,848 and cutting annual dividend requirements by about $1.2 million. The move uses the existing $70.0 million repurchase program and leaves around $16.0 million authorized. Against a backdrop of recent net losses and restructuring, investors may focus on how this transaction interacts with free cash flow, dividend sustainability, and future capital allocation.

Key Terms

public float

1 terms

public float financial

"The shares being repurchased were not part of the public float, and given their size..."

Public float is the total number of a company's shares that are available for trading by the general public. It excludes shares held by company insiders or large stakeholders who are unlikely to sell them easily. This figure helps investors understand how much of the company's stock is actively available, which can influence its liquidity and how easily its price might change.

AI-generated analysis. Not financial advice.

LOS ANGELES, Feb. 17, 2026 (GLOBE NEWSWIRE) -- Natural Health Trends Corp. (NASDAQ: NHTC) (the “Company”), a leading direct-selling and e-commerce company, today announced that it has entered into an agreement to repurchase all of the shares of the Company’s common stock beneficially owned by the George K. Broady family in a negotiated transaction. The transaction was reviewed and approved by a special committee of the Company’s board of directors.

Prior to the transaction, the George K. Broady 2012 Irrevocable Trust and the Eleanor Jane Broady 2012 Irrevocable Trust collectively held 2,935,227 shares of the Company’s stock, representing approximately 25.5% of the Company’s outstanding shares. The Company has repurchased these shares for an aggregate purchase price of approximately $5.9 million, or $2.00 per share, funded from existing cash on hand. Following completion of the transaction, the Company will have 8,577,848 shares of common stock outstanding.

The repurchase was effected pursuant to the Company’s previously announced $70.0 million share repurchase program. After giving effect to this transaction, the Company expects to have approximately $16.0 million remaining available for future repurchases under the program, inclusive of related estimated income tax. As a result of the reduced share count, the Company expects annual dividend requirements will decline by approximately $1.2 million, based on the current dividend rate.

“This privately negotiated transaction allows us to efficiently retire a large block of shares in a single, orderly transaction at an attractive price, addressing the perceived stock overhang and significantly reducing our shares outstanding,” said Chris Sharng, President of Natural Health Trends Corp.  

Mr. Sharng continued, “The shares being repurchased were not part of the public float, and given their size relative to our trading volume, an open market sale likely would have required a prolonged period of time and could have been disruptive. This transaction provides certainty and preserves liquidity while enhancing value for all remaining stockholders. We remain committed to financial discipline focusing on growing our free cash flow, maintaining a healthy balance sheet, and returning cash to shareholders through our dividend program.”

Mr. Sharng added, “We value the long-standing relationship with Mr. Broady and his family and appreciate their support of the Company over many years. I am grateful to Mr. Broady for his friendship, advice and support and deeply appreciate his unwavering faith in our Company, our products and our members. We wish them the best in their future endeavors.”

Mr. Broady stated: “I made my initial investment in Natural Health Trends Corp many years ago based on my confidence in the Company and its management, and that confidence has been well rewarded over time. I am now divesting for personal financial reasons. I am confident the Company will continue to thrive in the years ahead and wish the Company continued success.” 

About Natural Health Trends Corp.

Natural Health Trends Corp. (NASDAQ: NHTC) is an international direct-selling and e-commerce company operating through its subsidiaries throughout Asia, the Americas, and Europe. The Company markets premium quality personal care products under the NHT Global brand. Additional information can be found on the Company’s website at www.naturalhealthtrendscorp.com.

Forward-Looking Statements

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 -- Forward-looking statements in this press release do not constitute guarantees of future performance. Forward-looking statements in this press release include, among others, statements relating to the anticipated effect of the stock repurchase described in this press release, statements relating to future cash flow and capital needs, and statements relating to future dividends, the declaration and payment of which will be at the sole discretion of the Company’s board of directors. Such forward-looking statements are subject to risks and uncertainties that could cause the Company’s actual results to differ materially from those anticipated. Such risks and uncertainties include the risks and uncertainties detailed under the caption “Risk Factors” in Natural Health Trends Corp.’s Annual Report on Form 10-K filed on February 21, 2025 with the Securities and Exchange Commission (SEC), as well as in subsequent reports filed with the SEC. The Company assumes no obligation to update any forward-looking information contained in this press release or with respect to the announcements described herein.

CONTACT:

Scott Davidson
Senior Vice President and Chief Financial Officer
Natural Health Trends Corp.
Tel (U.S.): 310-541-0888
investor.relations@nhtglobal.com

FAQ

What shares did Natural Health Trends (NHTC) repurchase on February 17, 2026?

The company repurchased 2,935,227 shares held by the Broady family for $2.00 per share. According to the company, the block represented about 25.5% of outstanding shares and was acquired in a negotiated transaction.

How much did Natural Health Trends (NHTC) pay for the Broady shares and how was it funded?

Natural Health Trends paid about $5.9 million in total, or $2.00 per share. According to the company, the purchase was funded from existing cash on hand and completed under its $70.0 million repurchase program.

What is the impact on outstanding shares after the NHTC repurchase on Feb 17, 2026?

Following the transaction, the company will have 8,577,848 shares outstanding. According to the company, this reduction follows the negotiated repurchase and is intended to address perceived overhang and enhance value.

How much repurchase capacity remains under Natural Health Trends' (NHTC) program after this deal?

After the Broady transaction, the company expects approximately $16.0 million remaining available for future repurchases. According to the company, this figure is inclusive of related estimated income tax.

How will the NHTC repurchase affect the company’s dividend obligations?

The company expects annual dividend requirements to decline by about $1.2 million based on the current dividend rate. According to the company, the lower share count reduces cash required for dividends going forward.