Back to top

Image: Bigstock

Weight Watchers International (WW) Stock Moves -0.18%: What You Should Know

Read MoreHide Full Article

Weight Watchers International (WW - Free Report) closed the most recent trading day at $21.61, moving -0.18% from the previous trading session. This move was narrower than the S&P 500's daily loss of 0.9%. At the same time, the Dow lost 1.05%, and the tech-heavy Nasdaq lost 0.79%.

Heading into today, shares of the weight-loss program operator had gained 3.59% over the past month, outpacing the Consumer Discretionary sector's loss of 0.98% and the S&P 500's gain of 1.52% in that time.

Investors will be hoping for strength from WW as it approaches its next earnings release, which is expected to be August 6, 2019. In that report, analysts expect WW to post earnings of $0.65 per share. This would mark a year-over-year decline of 35.64%. Our most recent consensus estimate is calling for quarterly revenue of $375.06 million, down 8.45% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.53 per share and revenue of $1.40 billion. These totals would mark changes of -52.04% and -7.4%, respectively, from last year.

Any recent changes to analyst estimates for WW should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.16% higher. WW is currently sporting a Zacks Rank of #3 (Hold).

Looking at its valuation, WW is holding a Forward P/E ratio of 14.16. This represents a no noticeable deviation compared to its industry's average Forward P/E of 14.16.

We can also see that WW currently has a PEG ratio of 1.13. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Consumer Services - Miscellaneous was holding an average PEG ratio of 1.32 at yesterday's closing price.

The Consumer Services - Miscellaneous industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 18, putting it in the top 8% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


WW International, Inc. (WW) - free report >>

Published in