It looks like the hedge fund manager who shorted Herbalife's stock got his wish. Its stock price fell by around 15% after the FTC notified Herbalife that it would be subject to an investigation. The distribution strategy employed by Herbalife is quite common. Herbalife probably would not have been subject a FTC investigation without the campaign conducted by the hedge fund. Perhaps it would be a good time to short the stock of companies whose distribution practices are similar to that of Herbalife.