Weight Watchers stock lost almost -10% at the opening of trading on Thursday, following a price target cut by a JP Morgan analyst.
JP Morgan’s Christina Brathwaite lowered her estimates on the health fitness company’s stock price to $12 a share, citing a -40% year-over-year drop in daily average subscribers in the first-quarter . She also mentioned the possibility of the company being forced to make a prepayment on part of its $1.5 billion term loan as an additional factor behind the price target slash.
Brathwaite maintained her underweight rating on Weight Watchers shares.