Don't think of Avon (NYSE: AVP) as that traditional door-to-door cosmetics company. Avon has entered the globalization and digital age.

Avon is in the midst of a restructuring aimed at increasing efficiency and widening the company's sales venues, and so far, so good.

Direct selling (5.3 million representatives) continues to be Avon's base, but catalogs, mall kiosks, a day spa, and a web site create a diverse retail presence.

Avon has also reduced its costs by moving manufacturing to lower-cost regions in the world, and via sales force productivity increases. Meanwhile, the company has amped-up its product base (cosmetics, fragrances, toiletries, jewelry, apparel, and home furnishings) as part of it plan to attract younger customers and to expand its global operations footprint.

Further, analysts are keeping an eye on marketing costs, which always increase in any brand expansion plan. Provided that expenses don't get out of hand, margins should improve in 2008 - a major reason why the stock's appeal is increasing in Wall Street circles. The Reuters F2007/F2008 EPS consensus estimates for Avon are $1.50/$2.08.

The First Call mean rating for the stock is: Buy. [16 firms.] Mean 2008 target: $46.70. [high: $55, low: $39.]

Stock Analysis: Avon is a moderate-risk stock not suitable for low-risk investors. Investors with an investment horizon longer than 1 year should be rewarded by Avon's shares. Sell / Stop Loss if you were to purchase shares in this company: $26.

Today, Jacuzzi Brands, Inc. (NYSE: JJZ) closed its deal to be bought-out by Apollo Management for roughly $1.25 billion. Yes, by the end of trading, the company will no longer trade on the New York Stock Exchange.

True, the company has a set of strong brands (like Zurn and Sundance Spas). Yet, the housing slump has taken its toll. What's more, the volatility in commodity prices has not helped.

As a private company, Jacuzzi will be able to make some changes, such as reducing overhead and even outsourcing manufacturing.

The company has been trying to sell itself since late 2004. But, there was not much interest -- all in all, Apollo's valuation of 9.6X EBITDA does seem fair.

Tom Taulli is the author of various books, including the Complete M&A Handbook and the EDGAR-Online Guide to Decoding Financial Statements.