This is also commonly referred to as the Asset Utilization ratio. This is our short term rating system that serves as a timeliness indicator for stocks over the next 1 to 3 months. 2020 InvestorPlace Media, LLC. A stock with a P/E ratio of 20, for example, is said to be trading at 20 times its annual earnings. The Weight Watchers Stock Rollercoaster. The Price to Cash Flow ratio or P/CF is price divided by its cash flow per share. Seeking Alpha Cash flow itself is an important item on the income statement. 7 Cheap Stocks That Make the Grade On the weekly chart, as shown above, the 10-week moving average continues to pressure the share price lower. The X Industry values displayed in this column are the median values for all of the stocks within their respective industry. The income number is listed on a company's Income Statement. The Growth Scorecard evaluates sales and earnings growth along with other important growth measures. ROE values, like other values, can vary significantly from one industry to another. As they say, 'price follows volume'. The company is facing competition from the popular keto diet. Shop the latest Food products at the WW Online Shop today. The 52 week price change is a good reference point. The industry with the worst average Zacks Rank (265 out of 265) would place in the bottom 1%. It takes the consensus sales estimate for the current fiscal year (F1) divided by the sales for the last completed fiscal year (F0) (actual if reported, the consensus if not). Signals & Forecast. For example, a P/S ratio of 0.5 means you're paying 50 cents for every $1 of sales the company makes. The analyzed items go beyond simple trend analysis. What happened . Learn more about Zacks Equity Research reports. The value of Oprah Winfrey's stake in Weight Watchers has plunged too. While the one year change shows the current conditions, the longer look-back period shows how this metric has changed over time and helps put the current reading into proper perspective. We need to see strong subscriber growth and know that business is holding steady. When comparing this ratio to different stocks in different industries, take note that some businesses are more capital intensive than others. Within the Finance Sector, it would fall into the M Industry of Banks & Thrifts. The Price to Earnings ratio or P/E is price divided by earnings. Copyright © 2020 InvestorPlace Media, LLC. That means you want to buy stocks with a Zacks Rank #1 or #2, Strong Buy or Buy, which also has a Score of an A or a B in your personal trading style. Why would anyone want to enter this name ahead of earnings, scheduled for tomorrow, February 26, after the close? The PEG ratio is the P/E ratio divided by its growth rate. Zacks Rank stock-rating system returns are computed monthly based on the beginning of the month and end of the month Zacks Rank stock prices plus any dividends received during that particular month. That means you want to buy stocks with a Zacks Rank #1 or #2, Strong Buy or Buy, which also has a Score of an A or a B in your personal trading style. This is also referred to as the cash yield. In general, the lower the ratio is the better. View real-time stock prices and stock quotes for a full financial overview. It’s hard to be overly bearish on a stock that’s already down 60% over the past year. Put simply, while Weight Watchers stock may not enjoy fiscal Q4 as much as many other companies — say like a Canada Goose (NYSE:GOOS) or Hasbro (NYSE:HAS) — it has six solid months of business coming. The Projected Sales Growth (F1/F0) looks at the estimated growth rate for the current year. Many investors prefer EV to just Market Cap as a better way to determine the value of a company. After all, Weight Watchers stock has fallen by 80% just since July. So be sure to compare a stock to its industry's growth rate when sizing up stocks from different groups. This is a longer-term price change metric. The Villere Balanced Fund co-manager George Young discusses investment opportunities in today’s market. The longer-term perspective helps smooth out short-term events. Cash Flow is a measurement of a company's health. In general, a lower number or multiple is usually considered better that a higher one. The (F1) EPS Estimate Weekly Change calculates the percentage change in the consensus earnings estimate for the current year (F1) over the last week. This time period essentially shows you how the consensus estimate has changed from the time of their last earnings report. Weight Watchers International, Inc stock price fell more than -6.69% Monday closing at $26.35 (Updated on December 28, 2020) Sell candidate since 2020-12-18 Loss -1.68% PDF . A ratio of 2 means its assets are twice that of its liabilities. The Daily Price Change displays the day's percentage price change using the most recently completed close. But if guidance is weak, investors will ignore that catalyst. Weight Watchers International saw its share price rocket 40% in a single day earlier this month after it revised its guidance for the year after achieving better-than-expected Q2 results. If you wish to go to ZacksTrade, click OK. As the name suggests, it's calculated as sales divided by assets. When evaluating a stock, it can be useful to compare it to its industry as a point of reference. Then again, I’m not sure 57 years of experience in the diet business is a selling point. If the volume is too light, in absolute terms or for a relatively large position, it could be difficult to execute a trade. Watch Video. For example, a company with a P/E ratio of 25 and a growth rate of 20% would have a PEG ratio of 1.25 (25 / 20 = 1.25). A rising stock on above average volume is typically a bullish sign whereas a declining stock on above average volume is typically bearish. +0.04 (0.16%) The Villere Balanced Fund co-manager George Young discusses investment opportunities in today’s market. On the revenue front, Estimates call for ~$347 million in sales. Weight Watchers stock also has a 17% short interest. WW's score also includes a long-term technical score of 57. Some investors seek out stocks with the best percentage price change over the last 52 weeks, expecting that momentum to continue. Weight Watchers is delivering rapid revenue growth and expanding profit margins. The technique has proven to be very useful for finding positive surprises. Weight Watchers Stock Today. Weight Watchers Stock Sheds on Analyst Downgrade. Once again, cash flow is net income plus depreciation and other non-cash charges. A sales/assets ratio of 2.50 means the company generated $2.50 in revenue for every $1.00 of assets on its books. One of the reasons some investors prefer the P/S ratio over other metrics like the P/E ratio is because sales are harder to manipulate on an income statement than earnings. All rights reserved. Less than 1 means its liabilities exceed its short-term assets (cash, inventory, receivables, etc.). A company with a P/E ratio of 40 and a growth rate of 50% would have a PEG ratio of 0.80 (40 / 50 = 0.80). Investors like this metric as it shows how a company finances its operations, i.e., what percentage is financed thru shareholder equity or debt. This list of both classic and unconventional valuation items helps separate which stocks are overvalued, rightly lowly valued, and temporarily undervalued which are poised to move higher. Since bonds and stocks compete for investors' dollars, a higher yield typically needs to be paid to the stock investor for the extra risk being assumed vs. the virtual risk-free investment offered in U.S.-backed Treasuries. Revenue is set to grow more than 17% in fiscal 2018 and analysts see even more growth ahead. Historical EPS Growth Rate looks at the average annual (trailing 12 months) EPS growth rate over the last 3-5 years of actual earnings. Weight Watchers International, Inc. stock has fallen -39.05% over the last 12 months, and the average rating from Wall Street analysts is a Buy.InvestorsObserver’s proprietary scoring system, gives WW stock a score of 49 out of a possible 100.. That score is chiefly influenced by a short-term technical score of 30. While it will take time, Weight Watchers does have a strong brand and distribution footprint to work with. Financial Market Data powered by FinancialContent Services, Inc. All rights reserved. The company's products and services are comprised of nutritional, activity, behavioral and lifestyle tools and approaches. The Momentum Score takes all of this and more into account. The sector with the worst average Zacks Rank (16 out of 16) would place in the bottom 1%. However, shares … Apr 11, 2019 9:56 AM EDT. You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. As of this writing, Bret Kenwell did not hold a position in any of the aforementioned securities. While the hover-quote on Zacks.com, as well as the various tables, displays the delayed intraday quote and price change, this display shows the daily change as of the most recently completed trading day. The idea is that more recent information is, generally speaking, more accurate and can be a better predictor of the future, which can give investors an advantage in earnings season. Should we get it, then it can kickstart a larger rally, perhaps up to $40, where a prior downtrend line current resides. WW International, Inc., formerly Weight Watchers International, Inc., is a global company headquartered in the U.S. that offers various products and services, including weight loss and maintenance, fitness, and mindset such as the Weight Watchers comprehensive diet program. So, when comparing one stock to another in a different industry, it's best make relative comparisons to that stock's respective industry values. Despite some of the seemingly positive developments at Weight Watchers, we have one true guide: price. And margin rates can vary significantly across these different groups. It is now below the 200-week moving average as well. Earnings estimate revisions are the most important factor influencing stocks prices. WTW stock is down roughly 60% over the past 12 months and has been trapped in a massive downtrend. Maybe Weight Watchers works. While earnings are the driving metric behind stock prices, there wouldn't be any earnings to calculate if there weren't any sales to begin with. The 20 day average establishes this baseline. WTW | Complete WW International Inc. stock news by MarketWatch. Buy Weight Watchers Stock Weight Watcher’s stockholders have recently seen a nice return on their investment – the company reported fourth quarter earnings of $.20 per share. And within the M Industry, it might further be delineated into the X Industry group called Banks Northeast. 1125 N. Charles St, Baltimore, MD 21201. How good is it? Weight Watchers stock is up almost 70% over the last three months, but the company is facing a number of issues that may hold back its revenue … NYSE and AMEX data is at least 20 minutes delayed. This shows the percentage of profit a company earns on its sales. This allows the investor to be as broad or as specific as they want to be when selecting stocks. We need a solid quarter and outlook to get the bulls back on board. Researching stocks has never been so easy or insightful as with the ZER Analyst and Snapshot reports. Only Zacks Rank stocks included in Zacks hypothetical portfolios at the beginning of each month are included in the return calculations. WW is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The Momentum Scorecard table also displays the values for its respective Industry along with the values and Momentum Score of its three closest peers. It steadily collapsed over the next few years; by 2015, it had bottomed out below $4. Visit www.zacksdata.com to get our data and content for your mobile app or website. This is also useful to know when comparing a stock's daily volume (which can be found on a ticker's hover-quote) to that of its average volume. All rights reserved. If you do not, click Cancel. Will We Ever Feel Comfortable Going to the Gym Again. He reminds investors to remain patient with the market and look to the long term. 1125 N. Charles St, Baltimore, MD 21201. There are 17 Sectors, 60 different M Industries, and 265 X Industries. Real time prices by BATS. By Tony Owusu. A strong weekly advance (especially when accompanied by increased volume) is a sought after metric for putting potential momentum stocks onto one's radar. After the P/E ratio, it's one of the most common valuation metrics. But they all have their place in the Growth style. The financial health and growth prospects of WW, demonstrate its potential to outperform the market. The 1 Week Price Change displays the percentage price change over the last 5 trading days using the most recently completed close to the close from 5 days before. Copyright 2020 Zacks Investment Research | 10 S Riverside Plaza Suite #1600 | Chicago, IL 60606. Like most ratios, this number will vary from industry to industry. So the PEG ratio tells you what you're paying for each unit of earnings growth. It's another great way to determine whether a company is undervalued or overvalued with the denominator being cash flow. A higher number is better than a lower number. Zacks Earnings ESP (Expected Surprise Prediction) looks to find companies that have recently seen positive earnings estimate revision activity. Is Weight Watchers International, Inc. (WTW) A Good Stock To Buy? The monthly returns are then compounded to arrive at the annual return. The Current Ratio is defined as current assets divided by current liabilities. Seeing a company's projected sales growth instantly tells you what the outlook is for their products and services. That means you want to buy stocks with a Zacks Rank #1 or #2, Strong Buy or Buy, which also has a Score of an A or a B. Delayed quotes by Sungard. The 20 Day Average Volume is the average daily trading volume over the last 20 trading days. WW International, Inc. (WW) Quote Overview, WW International (WW) Beats Q3 Earnings Estimates. Cash is vital to a company in order to finance operations, invest in the business, pay expenses, etc. Note: there are many factors that can influence the longer-term number, not the least of which is the overall state of the economy (recession will reduce this number for example, while a recovery will inflate it), which can skew comparisons when looking out over shorter time frames. Again, it’s important that Weight Watchers is able to deliver a solid outlook, giving investors a reason to bid this name higher. In fact, when combining a Zacks Rank #3 or better and a positive Earnings ESP, stocks produced a positive surprise 70% of the time, while they also saw 28.3% annual returns on average, according to our 10 year backtest. If a company's expenses are growing faster than their sales, this will reduce their margins. ET by Tomi Kilgore Oprah’s tour drove Weight Watchers … Debt to Equity (or D/E ratio) is total liabilities divided by total shareholder equity. Zacks Rank Education - Learn about the Zacks Rank, Zacks Rank Home - Zacks Rank resources in one place, Zacks Premium - The only way to fully access the Zacks Rank. To learn more, click here. Debt to Capital (or D/C ratio) is the fraction of debt (including mortgages and long-term leases) to long-term capitalization. It's an integral part of the Zacks Rank and a critical part in effective stock evaluation. Enterprise Value / Earnings Before Interest, Taxes, Depreciation and Amortization is a valuation metric used to measure a company's value and is helpful in comparing one stock to another. In Q1 2020, health and wellness company WW International 's () (formerly Weight Watchers) revenue grew by 10% year over year to $400 million. 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