WW International
Pivot to digital
One of tracking mechanisms flagged Weight Watchers, or now WW International (WW), as out of norm trading. We noticed unusually high volume:
March 7, 2023- 80M shares traded
March 8- 27M shares
April 11- 77M shares
April 13- 32M shares
Goldman Sachs recently raised its rating for WW following their acquisition of Sequence, a company that serves as a bridge between patients and weight loss medications. This new service will enhance WW's offerings for customers currently on weight loss plans by supporting their pharmaceutical needs.
Goldman Sachs projects that by 2032, the obesity market for pharmaceutical products will be worth $30 billion. The firm provided a breakdown of potential revenues by pharma company:
Eli Lilly: $16 billion
Altimmune: $2.8 billion
Zealand Pharma: $1.9 billion
Novo Nordisk: $10 billion
As a result of these predictions and the anticipated boost in revenue and profit growth, Goldman Sachs has set a price target of $13 for WW in the coming year.