Intangible Valuation
Value, contrarian, coat tail rider, idiosyncratic research

Weight Watchers: Excellent Business At A Fire Sale Price

Weight Watchers International (NYSE:WTW) is selling at very silly prices. The company is well known for its 50-year-old program which helps people lose weight.

According to the company, 69% of adults over 20 years old are overweight and 33%+ are obese. Over $100 million Americans would like to lose weight. Further, over the last 20 years the company's system has been clinically studied 80 times. For example, a 2013 study by Baylor College of Medicine found that "overweight and obese adults following Weight Watchers loss significantly more weight at six months than those who tried to lose weight on their own" (10-K, p.2). Many other studies say variations on that same theme.

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