WTW - Weight Watchers International, Inc.
| Previous Close | 32.92 |
| Open | 32.90 |
| Bid | 34.10 x 800 |
| Ask | 34.39 x 2200 |
| Day's Range | 32.85 - 34.44 |
| 52 Week Range | 31.58 - 105.73 |
| Volume | 2,772,663 |
| Avg. Volume | 2,481,316 |
| Market Cap | 2.293B |
| Beta (3Y Monthly) | 2.70 |
| PE Ratio (TTM) | 9.85 |
| EPS (TTM) | 3.48 |
| Earnings Date | Feb 25, 2019 - Mar 1, 2019 |
| Forward Dividend & Yield | N/A (N/A) |
| Ex-Dividend Date | 2013-09-25 |
| 1y Target Est | 83.64 |
- Zacks•3 days ago
3 Weight-Loss Stocks in Focus on Rising Obesity Fears
Three companies with bright prospects as the U.S. weight-loss industry keeps up its battle against obesity.
- InvestorPlace•3 days ago
Is Blue Apron Stock in the Beginning Stages of a Huge Turnaround?
For a long time, essentially everyone on Wall Street wrote off Blue Apron (NASDAQ:APRN) stock as a dead duck with zero chance of turning around. APRN stock went public at $10 per share in June 2017. That was about as high as it ever got. Over the next 18 months, it turned into what one of the worst IPOs ever. By Christmas 2018, this was a 65-cent stock. * 12 2018 Winners That Will Be Big Ol' Losers in 2019 Then the turnaround started. Macroeconomic sentiment improved. That helped things. But Blue Apron also announced a big meal-kit partnership with Weight Watchers (NYSE:WTW), which management said would stabilize the customer base without the company having to spend big on marketing. Then, the company updated investors on fourth-quarter trends -- and that was a positive read. Management said that a new fulfillment center continues to drive operational efficiencies, while the Weight Watchers deal has seen higher-than-expected demand. It also reiterated that the company would be adjusted EBITDA profitable in Q1 and fiscal 2019. InvestorPlace - Stock Market News, Stock Advice & Trading Tips All those positive developments have created a surge in APRN stock. After bottoming at 65 cents before Christmas, APRN stock has nearly tripled in less than a month. Shares currently trade hands at around $1.50. Is this turnaround legit? Could APRN stock be in the early stages of a huge turnaround that propels shares back to $10? I don't think so. There are reasons to be optimistic, and the recent near tripling in APRN stock does feel somewhat justified. But the long term fundamentals remain uncertain, and the pathway to sustainable profitability remains bleak. So, while APRN stock could be in the early stages of a huge turnaround, the odds of this stock getting back to $10 are very, very low. ### Reason for Optimism, but Still Too Many Question Marks There are certainly reasons to be optimistic about the current turnaround in APRN stock. At its core, the decline in APRN stock over the past 18 months has been driven by three headwinds: customer churn, big expenses and lack of a sustainable moat. To some extent, the recent partnership with Weight Watchers addresses all three of those headwinds. On the customer churn front, a partnership with Weight Watchers taps into the huge WW customer base and, thereby, gives Blue Apron a pipeline to stabilize customers. Meanwhile, that customer stabilization will come without additional marketing since its through the Weight Watchers pipeline, so the customer base has the potential to stabilize without operating expenses going up. Also, this partnership gives Blue Apron some semblance of a moat, as it establishes the company as a "diet meal kit maker," which is a unique and differentiated value prop in the largely uniform meal kit space. Thus, management coming forth and saying that the Weight Watchers deal is progressing with high demand, and concurrently doubling down on profitability projections for 2019, is pretty important. The implication is that this company could be gradually turning into a small, profitable shell of its former self. But there's sill too many question marks to say that this transformation is actually what is happening. Top-line trends at Blue Apron hardly signal a turnaround in sight. Revenue declines have only deteriorated year-to-date -- from down 20% in Q1, to down 25% in Q2, to down 28% in Q3. Same is true for customer churn trends. As the company has stopped spending an arm and a leg on marketing, the customer base has consistently dropped by 20% or more each quarter this year. Plus, competition is only getting stiffer and, if the WW partnership doesn't pan out, the company could continue to lose customers at a rapid pace. Overall, while there's reason for optimism regarding APRN stock, there's also reason to question the legitimacy of recent strength in the stock. Until those questions have tangible answers, it's probably best to avoid APRN stock. ### Profitability Lacks Visibility The biggest problem with APRN stock is that the company's pathway to profitability lacks visibility. Gross margins have been steadily improving all year long. Still, they are largely below 35%. Best case scenario, the company continues to drive operational efficiencies through the Linden fulfillment center, and gross margins rise to 40%. That still isn't high enough to drive profitability. Year to date, the company's opex rate is above 50%. Although the company is cutting back on marketing expenses, that is adversely impacting customer growth -- and revenues are dropping too. Thus, there hasn't been any room for opex leverage, nor will there be so long as the customer base continues to retreat. In order for Blue Apron to reach true profitability, a lot of things have to happen. First, the customer base has to stabilize and/or grow. Second, that has to lead to revenue stabilization and/or growth. Third, gross margins have to move towards 40% or higher. Fourth, the company has to keep gutting its marketing expenses, potentially to levels that aren't even possible given current revenues. In other words, Blue Apron is still a lot of speculative twists and turns away from being truly profitable. Until that pathway attains visibility, APRN stock will likely remain depressed. ### Bottom Line on APRN Stock Recent strength in APRN stock is impressive and should not be ignored. Blue Apron's fundamentals are improving, and those improvements do breathe life into what was a dying company. * 7 Oversold Small-Cap Stocks With Massive Profit Growth But Blue Apron still has significant operational risks which threaten the long-term sustainability of the company, while the pathway to profitability remains unclear. All together, that means APRN stock won't head back towards $10 any time soon. As of this writing, Luke Lango was long WTW. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * Top 10 Global Stock Ideas for 2019 From RBC Capital * 10 A-Rated Stocks the Smart Money Is Piling Into * 5 Best Bank ETFs for This Week's Earnings Avalanche Compare Brokers The post Is Blue Apron Stock in the Beginning Stages of a Huge Turnaround? appeared first on InvestorPlace.
- Simply Wall St.•4 days ago
Should You Be Worried About Insider Transactions At Weight Watchers International, Inc. (NASDAQ:WTW)?
It is not uncommon to see companies perform well in the years after insiders buy shares. Unfortunately, there are also plenty of examples of share prices declining precipitously after insiders Read More...
- TheStreet.com•5 days ago
Blue Apron Stock Jumps 44% on Positive Earnings Guidance
rose more than 44% Tuesday heading into the close after the company affirmed guidance for its most recent fiscal quarter and shared positive news about its recently announced deal with Weight Watchers International Inc. , now known as WW. Blue Apron shares closed 44.23% higher at $1.50 in trading on the New York Stock Exchange.
Bloomberg•5 days agoBlue Apron Soars as It Sees Strong Demand in WW Partnership
Shares of WW, formerly known as Weight Watchers, also gained as much as 3.5 percent. In a press release announcing details for its upcoming fourth-quarter results, Blue Apron described a “favorable consumer response” to its partnership with WW, formerly known as Weight Watchers.
Bloomberg•5 days agoBlue Apron Soars as It Sees Strong Demand in WW Partnership
Shares of WW, formerly known as Weight Watchers, also gained as much as 3.5 percent. In a press release announcing details for its upcoming fourth-quarter results, Blue Apron described a “favorable consumer response” to its partnership with WW, formerly known as Weight Watchers.
- CNBC•5 days ago
Blue Apron shares skyrocket after company says it will be profitable in 2019
Shares of Blue Apron skyrocketed after the company said it would likely be profitable in 2019. The company's stock has been in danger of being delisted from the New York Stock Exchange. To help sales, the meal kit service has partnered with Walmart's Jet.com and WW, formerly known as Weight Watchers.
- MarketWatch•5 days ago
Market share, stock price for the former Weight Watchers take a beating from wellness startup Noom
As convenience and technology gain steam in the health and wellness space, the sector is becoming more competitive, and companies like WW, formerly Weight Watchers, are losing share.
- PR Newswire•5 days ago
WW Introduces New WW Fresh Quick-Prep Meals At More Than 200 Hy-Vee Grocery Stores
NEW YORK, Jan. 15, 2019 /PRNewswire/ -- WW (Weight Watchers reimagined) (WTW) today introduces new WW Fresh™ quick-prep meals, which are chef-inspired, nutritionist-approved and ready-to-eat in 10 minutes or less, currently rolling out at more than 200 Hy-Vee grocery store locations across the Midwest. "People are looking for nutritious meals that they can put together quickly at home, work or even on-the-go," said Stacey Mowbray, President of North America at WW.
- Zacks•6 days ago
Cerner & Christiana Care Unite to Offer Bariatric Services
Cerner (CERN) likely to gain from increased obesity rates in the United States.
- CNBC•9 days ago
Cramer's lightning round: The defense stocks are no longer growth plays
Jim Cramer zooms through his responses to callers' stock questions, including one on the prospects for Lockheed Martin.
- Motley Fool•9 days ago
Why Vail Resorts, Activision Blizzard, and Weight Watchers International Slumped Today
An array of disappointing business developments took the wind out of these stocks' sails.
- Benzinga•9 days ago
Not Enough New Year's Resolve: JPMorgan Downgrades Weight Watchers
As would-be weight losers seem to be already giving up on their New Year’s resolutions, JPMorgan is throwing in the towel on Weight Watchers International (NASDAQ: WTW ). January’s not over yet, but not ...
- TheStreet.com•9 days ago
Weight Watchers Sinks on JPMorgan Downgrade
fell 8.3% to $32.16 Friday after JPMorgan analyst Christina Brathwaite downgrades the weight management services company to neutral from overweight with a price target of $37. Braithwaite said Weight Watchers had announced at the beginning of 2017 a long-term target of achieving more than $2 billion in revenue by the end of 2020. Noom is a new mobile app weight loss program, Braithwaite said, which includes enhanced personalization by assigning each member a "health coach" who answers questions, provides tips, and helps keep members on track towards goals.
Bloomberg•9 days agoWeight Watchers Sinks as JPMorgan Sees Few Dieters in 2019
Analyst Christina Brathwaite also slashed her price target on the stock by nearly 50 percent, dropping it to a Street-low of $37 from $70. The average target is $74, according to Bloomberg data. “Current trends will make it difficult for the company to generate significant growth in members,” JPMorgan wrote to clients, citing channel checks for its view on membership activity.
- MarketWatch•9 days ago
Weight Watchers shares sink 5.5% after J.P. Morgan downgrade on weak New Year's resolution enrollment
WW, formerly Weight Watchers International Inc. , shares sank 5.5% in Friday premarket trading after the wellness company was downgraded to sell at J.P. Morgan after channel checks show weakness during the New Year's resolution enrollment period. J.P. Morgan slashed the price target to $37 from $70. With a goal of reaching $2 billion-plus in revenue by the end of 2020, WW expected about 80% of revenue growth to be driven by recruitment and retention. "[O]ur checks have indicated that traffic to WW's website and engagement on the company's mobile app are down double digits year-over-year according to SimilarWeb data, which we see as a signal that new member growth thus far is starting the year slower than anticipated," J.P. Morgan wrote. Analysts say WW could make up for it later in the year since some of it could be shutdown related, and it's still early in the season. But WW could also be seeing its market share shifting to a new brand, Noom. WW shares have sunk 41.8% over the last 12 months while the S&P 500 index is down 6.6% for the period.
- Motley Fool•11 days ago
Here's the Skinny on Blue Apron's Weight Watchers Deal
Although cooking for millions of dieters has potential, the same problems that keep people from subscribing now still exist.
Motley Fool•12 days agoWhy Weight Watchers Stock Fell 23% in December
Shares of the weight-loss specialist declined on worries about Oprah Winfrey's role in the company.
- Yahoo Finance•16 days ago
Oprah Winfrey still actively involved with Weight Watchers: CEO
Wall Street has grown worried about media legend Oprah Winfrey's involvement with Weight Watchers. WW Inc. CEO Mindy Grossman allays those concerns.
GuruFocus.com•16 days agoWhy Weight Watchers Has Recovery Appeal
An improved digital offering could catalyze the Weight Watchers (WTW) stock price. A number of partnerships are set to broaden its customer offering as it rebrands itself as a wellness-focused operation under the name WW. Its loyalty program has experienced high engagement levels, which could help to retain customers.
- MarketWatch•17 days ago
WW, formerly Weight Watchers International, among most recession-resistant on D.A. Davidson list
WW, formerly known as Weight Watchers International Inc. , is one of the health and beauty companies in the D.A. Davidson coverage universe that's "recession resistant," analysts wrote in a Thursday note. Analysts used eight criteria to determine recession resistance including sales decline in the last recession and operating leverage. WW has "low operating leverage, high operating and free cash flow margins, and strong strategic position," D.A. Davidson said. Still, shares are down 46.6% over the past three months. Medifast Inc. , a company that provides weight-loss plans, sits atop this list thanks to its "debt-free balance sheet, high free cash flow margin, and lack of sales cyclicality." Medifast shares are down 45% for the last three months. In comparison, the S&P 500 index has slumped 16% for the past three months. D.A. Davidson rates both WW and Medifast shares at buy. It has a $137 price target on WW, and a $249 price target on Medifast.
- Yahoo Finance Video•9 days ago
WW downgraded, Google’s board faces lawsuits, J&J hikes some prices
WW, Google, Johnson & Johnson, JPMorgan Chase and Activision Blizzard are the companies to watch.
- Yahoo Finance Video•11 days ago
Jenny Craig's 2019 outlook
Jenny Craig is out with a new survey on what wellness means to Americans. CEO of Jenny Craig, Monty Sharma, joins us to discuss the results of the survey, and how the company keeps up with competitors such as Weight Watchers.
- Yahoo Finance Video•16 days ago
Oprah Winfrey still actively involved with Weight Watchers: CEO
Yahoo Finance’s Brian Sozzi is with Mindy Grossman, CEO of WW Inc., at the NASDAQ to discuss the company’s success and how its moving into the new year.
- CNBC Videos•18 days ago
New Year, New You: Fitness trends for 2019
CNBC's Jon Fortt discusses the latest technology and tools to help you get healthy and in shape in 2019.
