Weight Watchers (WTW, $20.38) falls -30%, weak outlook for 2019
Shares of Weight Watchers crashed 30% following a disappointing fourth quarter result and a poor outlook for 2019. Its adjusted fourth quarter earnings were 46 cents per share, versus a market estimate of 60 cents per share. Revenue reached $300 million versus a Wall Street expectation of $347 million. For 2019, the company expects to generate revenue of about $1.4 billion whereas analysts expected $1.66 billion in sales for the year.
CEO Mindy Grossman explains that Weight Watchers has been focused on improving member recruitment trends in light of the fact that their Winter Campaign did not recruit as expected. This year, they plan to introduce new creative with a stronger call-to-action to further optimize their media mix.
Under Grossman, WTW has shifted from a being a diet company, dropping ‘weight’ from its name and rebranding as WW last year. Younger customers tend to focus less on calorie counting and more on mindfulness of what they are eating.
The rebranding is also in-line with a long-term goal that expects that being a wellness partner the company will still have more to offer after customers have achieved their weight loss goals. In fact in 2019, they will focus on providing holistic wellness solutions that will retain their customers even after their initial weight loss.
Oprah Winfrey, who currently owns 8% of Weight Watchers, is its spokeswoman and board member. She is set to play a central role in the company’s spring television and digital marketing campaign.
WTW in -2.70% downward trend, sliding for three consecutive days on September 01, 2026
Moving lower for three straight days is viewed as a bearish sign. Keep an eye on this stock for future declines. Considering data from situations where WTW declined for three days, in of 278 cases, the price declined further within the following month. The odds of a continued downward trend are .
Technical Analysis (Indicators)
Bearish Trend Analysis
The 10-day RSI Indicator for WTW moved out of overbought territory on August 25, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 33 similar instances where the indicator moved out of overbought territory. In of the 33 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 69 cases where WTW's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for WTW turned negative on August 13, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 49 similar instances when the indicator turned negative. In of the 49 cases the stock turned lower in the days that followed. This puts the odds of success at .
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on August 24, 2026. You may want to consider a long position or call options on WTW as a result. In of 106 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The 50-day moving average for WTW moved above the 200-day moving average on August 20, 2026. This could be a long-term bullish signal for the stock as the stock shifts to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where WTW advanced for three days, in of 309 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 264 cases where WTW Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 84, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. WTW’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (4.132) is normal, around the industry mean (7.242). P/E Ratio (21.178) is within average values for comparable stocks, (36.416). Projected Growth (PEG Ratio) (1.265) is also within normal values, averaging (1.546). Dividend Yield (0.011) settles around the average of (0.013) among similar stocks. P/S Ratio (3.267) is also within normal values, averaging (3.191).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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General Information
a provider of weight management services
Industry InsuranceBrokersServices
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