Apparently, nobody watches their weight anymore
For that reason… Weight Watchers was down close to 15% on Tuesday. However, is this something investors should worry about? Probably not. Moreover, we have seen this scenario play out since the dawn of time – people make New Year’s resolutions to be healthier, and people abruptly dump said resolutions within a few weeks. Investors should expect a dip in subscribers between the first and second quarter every year, without exception.
Here is what matters… and that is the actual money, otherwise known as profit. Weight Watchers beat forecasts and raised their expectation to make even more this year. Even with the drop on Tuesday, shares of the company are up 80% for the year. And they are up 1,000% since Oprah invested $43 million.
It’s all about wellness… and not how much weight you lose (but really, everyone is in it for the weight-loss). In addition to Oprah, other “weight watchers” that serve as ambassadors include Kevin Smith, DJ Khaled, and Eric Greenspan. Here is to hoping that pounds are the only thing lost with Weight Watchers going forward…