WW International, previously known as “Weight Watchers,” crashed in premarket trading after the company revealed late Wednesday that media icon Oprah Winfrey will exit its board later this year.
Winfrey’s exit from the WW board, which she joined in 2015, occurred about three months after an interview with People Magazine, in which she disclosed her use of a weight-loss medication as a “maintenance tool.”
“The fact that there’s a medically approved prescription for managing weight and staying healthier, in my lifetime, feels like relief, like redemption, like a gift.”
As of 0700 ET, shares in premarket trading in New York were down 24.5% to $2.88 a share. The stock will open at a record low if the trading holds into the cash session.
It’s important to note that 18% of the float is short.
In an earnings release Wednesday, WW revealed that fourth quarter subscribers were 3.8 million, down from 4 million in the prior quarter and 4.1 million as of July 1. The loss of subscribers comes as a seismic shift has hit the weight-loss industry following the release of anti-obesity drugs such as Ozempic and Wegovy.
Presumably Oprah is on Semaglutide, Tirzepatide, or Retatrutide and couldn’t live the lie of ‘counting calories’ anymore.
Tyler Durden
Thu, 02/29/2024 – 08:55
