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Weight Watchers Supersize Short-Squeezed After Oprah Gobbles Up Stake

Tyler Durden's picture




 

Weaight Watchers' shorts were the biggest losers this morning as Oprah Winfrey unveils a 10% stake in the greed-is-not-good company. WTW rose 100% on the news as Oprah takes a board seat and has begun a 'program' to lose weight. With 57% of the float short, (and Oprah with an option to take 5% more), all she has to do is convince 30% of investors to pull their borrow and the 100% gains suddenly become a "Volkswagen"-situation...

 

 

WTW could use a boost...

 

As Bloomberg reports,

The company has suffered from falling sales and profit as consumers migrate to free, digital methods for counting calories and keeping in shape. With the Winfrey partnership, Weight Watchers is broadening its mission to helping people live a "healthier, happier life" instead of just helping them lose weight, Chief Executive Officer Jim Chambers said in the statement.

 

“I believe in the program so much I decided to invest in the company and partner in its evolution,” said Winfrey, who’ll also serve as an adviser to the company, helping with program development and execution.

 

Weight Watchers, about 51 percent of which is owned by Luxembourg-based Artal Group SA, had fallen 73 percent this year through last week.

 

The investment gives Weight Watchers credibility with potential customers, especially among Winfrey’s large following, said RJ Hottovy, a Chicago-based analyst at Morningstar Inc. Winfrey, who is CEO of the Oprah Winfrey Network LLC and chairman of the Harpo Entertainment Group, could also open the door for advertising partnerships to consumers already in Weight Watchers’ demographic.

 

“It brings an unprecedented level of commitment for a Weight Watchers celebrity endorsement,” said Hottovy, who has a hold rating on the shares. “It potentially expands their audience and opens up some intriguing marketing opportunities as well.”

 

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Mon, 10/19/2015 - 11:08 | 6684974 nuubee
nuubee's picture

It seems the Fed has found it's new cheerleader. What will she say about Apple?

Mon, 10/19/2015 - 11:20 | 6685030 pods
pods's picture

Good luck Oprah, you are gonna need it.

If you can't stay below obese with a personal chef, good luck with that crap-in-a-box meal plan.

Always fun to see the fat girls fall off the wagon from that. Pure misery is all that shit is.  And make a buck off it to boot.  Might as well start the crack cocaine weight loss program?

And, if you are fat and hate me for talking like this, well, here you go:

http://www.drfuhrman.com/

He has helped a ton of people get thin and heal themselves.  And it will cost you exactly nothing for the knowledge.

pods

Mon, 10/19/2015 - 12:31 | 6685360 bania
bania's picture

"Volkswagon situation"? you mean they'll start spewing noxious gasses?

Mon, 10/19/2015 - 12:34 | 6685376 Amish FinEng
Amish FinEng's picture

You English are a real queer lot.

Oprah as your weight loss coach? Next you'll assign Trump as your god damn president.

Freak show!

Look at her fatassed blob of a friend gail king. Talk about a weight loss project. Get to work on her Oprah!

Black people are just obese.

Mon, 10/19/2015 - 13:33 | 6685693 grumpyoldgit
grumpyoldgit's picture

"It seems the Fed has found it's new cheerleader. What will she say about Apple"

 

eat more of them

Mon, 10/19/2015 - 11:08 | 6684977 Reggie Dunlop
Reggie Dunlop's picture

Fuck Oprah.

Mon, 10/19/2015 - 11:10 | 6684988 KnuckleDragger-X
KnuckleDragger-X's picture

You first.....

Mon, 10/19/2015 - 11:11 | 6684994 nuubee
nuubee's picture

The only thing worse than being first to that whale is being second.

Mon, 10/19/2015 - 11:17 | 6685019 zorba THE GREEK
zorba THE GREEK's picture

I just heard she was arrested for drug possession. They lifted up her skirt and found 90 lbs. of 'crack'.

Mon, 10/19/2015 - 11:23 | 6685043 zorba THE GREEK
zorba THE GREEK's picture

She probably will end up doing some insider trading with the stock and end up in Martha Stuart's old cell.

Celebrities seem to feel immune to the law.

Mon, 10/19/2015 - 11:25 | 6685050 KnuckleDragger-X
KnuckleDragger-X's picture

Not immune, above. After all, she's close personal friends with President Zippy....

Mon, 10/19/2015 - 11:52 | 6685167 KJWqonfo7
KJWqonfo7's picture

#BlackInvestorsLivesMatter

Mon, 10/19/2015 - 12:04 | 6685223 SILVERGEDDON
SILVERGEDDON's picture

Get her on a cooking show for bait.

Then you can roll her around in flour on the counter to find the wet spot. 

Mon, 10/19/2015 - 12:07 | 6685241 KnuckleDragger-X
KnuckleDragger-X's picture

Gotta down vote you for that horrifying mental image....

Mon, 10/19/2015 - 11:15 | 6685006 Ignatius
Ignatius's picture

Weight Watchers stock will rise and so, too, Oprah's weight.

Oh, she'll lose a few pounds in the short run -- that's just good business -- but the long term trend is Orca fat.

Mon, 10/19/2015 - 11:17 | 6685016 Usurious
Usurious's picture

Oprah is eating to much gmo wheat..........its a poison

Mon, 10/19/2015 - 11:39 | 6685115 Rock On Roger
Rock On Roger's picture

GMO wheat isn't grown commercially... yet.

Mon, 10/19/2015 - 15:29 | 6686233 Automatic Choke
Automatic Choke's picture

I hear there is a good market for GMO kale, though....

Mon, 10/19/2015 - 14:27 | 6685935 Fukushima Fricassee
Fukushima Fricassee's picture

"the long term trend" is fucking death.

Mon, 10/19/2015 - 14:31 | 6685930 Fukushima Fricassee
Fukushima Fricassee's picture

"fuck Ophra" With a baseball bat in her fat, lie spreading, manipulative mouth.

Mon, 10/19/2015 - 11:09 | 6684981 arbwhore
arbwhore's picture

Funny how this never happens in the PM space when a company's shares are heavy short.

Mon, 10/19/2015 - 11:25 | 6685048 TheRideNeverEnds
TheRideNeverEnds's picture

That's because the FED totally supports gold going back to 50$/oz and miners all going to zero.

Mon, 10/19/2015 - 11:09 | 6684986 wmbz
wmbz's picture

Well, old Okra does know a little something about watching weight!

Mon, 10/19/2015 - 15:03 | 6686109 SillySalesmanQu...
SillySalesmanQuestion's picture

You too, can lose weight by eating Okra...at least 3-5 times a week. Yum, yum!

Mon, 10/19/2015 - 11:11 | 6684993 CheapBastard
CheapBastard's picture

"The trend is your friend," and losing weight is not 'the trend.'

 

THis will drop back down to reality soon.

Mon, 10/19/2015 - 11:11 | 6684996 abyssinian
abyssinian's picture

So does that mean Oprah gets all the free dinners from WTW? 

Mon, 10/19/2015 - 11:11 | 6684997 Callz d Ballz
Callz d Ballz's picture

I wouldn't want anything to do with shorts and WW's, bad combo.

Mon, 10/19/2015 - 11:11 | 6684998 cheech_wizard
cheech_wizard's picture

I am not ashamed to fat-shame... This seems like a match made in heaven.

 

Mon, 10/19/2015 - 11:17 | 6685015 MsCreant
MsCreant's picture

Talk about a pump! She should sell at the top (soon), turn on everyone and go "Psyche!"

Mon, 10/19/2015 - 12:31 | 6685355 fishwharf
fishwharf's picture

Yes, I smell some extra large shorts.

Mon, 10/19/2015 - 15:30 | 6686237 Automatic Choke
Automatic Choke's picture

THAT is a disgusting concept that I didn't need to visualize before lunch.

Mon, 10/19/2015 - 11:18 | 6685021 adr
adr's picture

I'm sure there was no inside trading before that 100% rampjob.

Where are the regulators to cancel those trades? Oh yeah, in today's market 100% up is a good thing nomatter what improprieties went on.

Mon, 10/19/2015 - 11:25 | 6685049 Not if_ But When
Not if_ But When's picture

The (un)funny thing is :

My mind clearly sees a connection between this shit with people blindly following Oprah like they are a cult member and people blindly supporting the cunt Hillary merely because she is a female running for president.  When I mentioned this similarity to people they cannot see any such connection and don't understand what I'm talking about and think I'm nuts.

(and no, i didn't actually use the term "cunt").

Mon, 10/19/2015 - 11:35 | 6685092 Loucleve
Loucleve's picture

you forgot obambi because he is schwartz.  yes it is truly pathetic, and that is just the way they want it.  sheep.

Mon, 10/19/2015 - 11:37 | 6685104 mijev
mijev's picture

At least you didn't say nigger.

Mon, 10/19/2015 - 11:29 | 6685064 JustObserving
JustObserving's picture

Fuck, I can write an AI program or website that will reduce your weight far more effectively than Weight Watchers in 2 days flat.  And it will do it for free.

No one has ever lost money underestimating the intelligence of the American public

Mon, 10/19/2015 - 11:33 | 6685081 CosmicDebris
CosmicDebris's picture

The jokes here are endless. Huge, even, with heavy irony.

Mon, 10/19/2015 - 11:36 | 6685095 Azannoth
Azannoth's picture

It's not the calories that make people fat, it's all the toxic additives and an unhealthy life style.

Mon, 10/19/2015 - 11:39 | 6685117 pods
pods's picture

Wanna bet?

I'll tie a fat fuck down to the bed and let them have all the additives they want, but no food.

Now certainly lifestyle and chems in processed foods (flavor enhancers, stuff to get you to eat more) help, but in point of fact, it IS the calories that is causing people to get fat.

pods

Mon, 10/19/2015 - 12:02 | 6685213 combatsnoopy
combatsnoopy's picture

If what you wrote is true, then why do antibiotics cause weight gain?  Antibiotics causes cells to drop iron stores to starve viruses of iron. (all viruses use iron for food, except Lymes disease-which uses magnesium for food).  The thyroid needs iron from the cells in order to function properly. Without that iron, thyroid slows down.

If what you wrote is true, why do sex hormones, steroids and glucocorticoids cause weight gain?  rbst/rbgh in dairy...

If what you wrote is true, explain high fructose corn syrup.   High fructose corn syrup spikes triglicerides, which blocks leptin.

 

The grossie FDA blocks Theanos over minor discreptancies; allows rbgh/rbst + hfcs, etc. in our food supply THEN! Approves of gastric balloons for weight loss (gastric explotions)  

FDA is nasty.  

 

Mon, 10/19/2015 - 12:23 | 6685315 pods
pods's picture

If you do not eat enough calories, you will not gain weight.  That is a pretty simple equation.  Your body burns fats, protein, and carbohydrates for energy. It does not use iron for energy.

Antibiotics might increase the amount of food that you eat.  Being sick tends to lead to less eating, as your body is focused on catabolism to repair itself as well as increasing your body temp, which requires more calories.  Use of antibiotics should lead to a weight normalization.  You tend to lose weight when you get sick, and recover afterwords.  If your body is iron deficient, which I doubt being most Americans intake too much, your body would send signals that it needs it, ie hunger.

Steroids (anabolic) can lead to increase in lean muscle mass, reduction in fat, improved insulin effectiveness, and other effects.

Sex hormones (I assume you mean estrogen) can lead to increased fat deposits, but fat is not composed of sex hormones.

HFCS is the same fucking thing as sugar in your body's sense.  Sure people love to eat sugar, and need a boogeyman as to why they are fat. HFCS fits that bill. Switch that out for sugar and see what happens. If you consume the same amounts of sugar as HFCS exactly nothing will change.

Corticosteroids tend to mimic cortisol, a stress hormone that can lead to storing more fat.  Fat is not composed of corticosteroids.

If I missed anything, don't bother. Believe what you want and end up with the results that you are seeing.

If you are fat, it IS your fault.  None of my business though.  But, at least take responsibility for it.

Same thing for smokers. (I am one).  Cancer, COPD, etc is not the fucking cigarette's fault, it is mine.

FDA is like the mafia.  But they are not holding back some magic pill that will cure all of this shit.  Why?  Because any chronic metabolic disease is not going to be cured by any pill. There is no fancy gene therapy that is going to solve the condition of eating wrong for your whole life.

pods

Mon, 10/19/2015 - 11:54 | 6685178 combatsnoopy
combatsnoopy's picture

I don't think tech itself has anything to do with fitness.  If it had, then Sillicon Valley would be chock full of lean mean fitness machines- they're kind of not.  Well unless they're FOBs.  

The biggest fitness help I personally got was access to research, fitness is all effort.  That's where these companies fail to innovate.   I'm far from rich, I don't do drugs/drink, etc.  I don't have specialized doctors, etc. and I suffered horrible bouts because of endocrine issues.  Everything that helped me get past these "uncurable" issues that the doctors were pushing pills for?  I didn't take the meds, I cleared it up with personal responsibility as soon as I had the right inforamtion 

I cured 2 out of 3 of my problems with supplements, clean eating and exercise.  Again, I'm one of the younger adults who got superscrewed in this economy. 
It's all effort.  I would look at the traditional sports wear companies, ie. Nike, Adidas- Lulemon is alright but their clothes are too big.  Running shoes, always.  Oiselle is an athletic company that is trending which is a nice distraction from the usual GAP/Abercrombie junk.   I will ALWAYS have running shoes.  Protection for outdoor urban runners might be a hot sell too.  

Weight Watchers isn't all that bad.  ANY aid to personal responsibility will survive.   Weight watchers IS a viable competition for people who need something to eat other than what's sold on the shelves at any nearest market and competition is supposed to uphold quality control. 

THe trend is going to be neutraceuticals and nutritional genomics - not tech.  Weight Watchers MIGHT have a stake in this, the gidgets widgets and gadgets won't as much. 

 

Mon, 10/19/2015 - 12:03 | 6685216 Jack Daniels Esq
Jack Daniels Esq's picture

Oprah is the nigger version of that Daft Cunt at the Fed

Mon, 10/19/2015 - 12:10 | 6685254 Let The Wurlitz...
Let The Wurlitzer Play's picture

Was the price jump caused by a "Fat Finger" or are investors just happy to have a new client that alone will double their revenue?

Mon, 10/19/2015 - 12:36 | 6685385 taopraxis
taopraxis's picture

Oprah and Trump: Billionaires of the people...

Mon, 10/19/2015 - 13:48 | 6685619 SmittyinLA
SmittyinLA's picture

I'm gonna short Oprah and mail her some Sees® candy.

Mon, 10/19/2015 - 13:21 | 6685621 conspicio
conspicio's picture

So are Ray Debbane and Invus managing Oprah's wealth these days? How much does Oprah have under management with Invus? Did Debbane just plug Oprah into the WTW stream to prop up both their positions? Win-win? Totes legit to ask, but I doubt anyone is that nosy or curious.

Mon, 10/19/2015 - 14:01 | 6685824 U4 eee aaa
U4 eee aaa's picture

Just remember, this was the same woman that almost single handedly put Obama in office. Fool me once.....

Mon, 10/19/2015 - 14:16 | 6685871 goldenbuddha454
goldenbuddha454's picture

So a month from now we'll see an oprah winfrey commercial 100 lbs lighter, attributed to weight watchers.  Must be nice being on the inside being able to manipulate a stock, profit from  stock, crash the stock if you so choose,  Martha Stewart is blushing.

Mon, 10/19/2015 - 14:56 | 6686078 bmr22
bmr22's picture

WW what a scam, one of many diet scams. Quite eating Any prerpared or boxed crap food stay away from ANY drive thru window, cook real meals, eat lots of veggies, cut out the tons of carbs and sugar in the diet and go and get some flippin exersise. Problem solved

Mon, 10/19/2015 - 15:32 | 6686249 Automatic Choke
Automatic Choke's picture

also - get up from the damn table when you aren't hungry anymore...don't keep eating till your belly bursts.   sheesh.

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