WW - WW International stock soars as Sequence deal closes Goldman moves to Buy

2023-04-11 07:25:29 ET

WW International ( NASDAQ: WW ) stock surges on Sequence acquisition and an analyst upgrade.

Shares of WW International ( WW ) surged 26.7% in premarket trading on Tuesday announcing the closure of a deal for subscription telehealth platform Sequence. The deal was first announced in March .

Additionally, Goldman Sachs shifted to a Buy rating given the company’s efforts to capitalize on obesity drugs. Per the bank’s analysis, the Sequence acquisition dovetails perfectly with the acquisition.

“With the now completed acquisition of Sequence, WW will begin to offer a pharmaceutical based clinical subscription service that it can integrate with its legacy behavioral based weight management offering,” equity analyst Jason English wrote. “With this new service offering we expect a cohort of consumers to turn to it for help navigating what is poised to be an increasingly complex field of pharmaceutical solutions given its legacy brand equity/credibility in the weight management field and its ability to reach an extensive database of current (4M) and lapsed (20M) WW program users who have previously demonstrated a willingness to pay for help.”

English hiked his price target to $13.00, up from a prior $3.80.

Read more on the closure of the Sequence deal .

For further details see: