WW - Increasing Competition Creates Problems for Weight Watchers
Shares of Weight Watchers International (NASDAQ: WW) jumped nearly 30% in the opening weeks of the new year, but the stock has since given back these gains and is down 6% as of this writing.
The company benefited from the seasonal enthusiasm that comes with New Year's resolutions and also spokesperson Oprah Winfrey’s 2020 Vision Tour, which kicked off in January. However, WW stock will likely continue to be volatile as the company struggles with sales growth. Competition is only increasing in the weight loss and wellness space, while consumers have ever-increasing options in the forms of websites, apps, and trendy diets.
Image source: Weight Watchers.