Weight management company Weight Watchers International, Inc. (
) late Tuesday said its third quarter profit fell 16% from last
year due to higher costs and one-time items, but adjusted results
beat analyst expectations.
The New York-based company reported third quarter net income of
$44.4 million, or 59 cents per share, compared with $52.6 million,
or 68 cents per share, in the year-ago period. Excluding one-time
items, adjusted profit was 69 cents per share.
Revenue rose 2% from last year to $330.6 million.
On average, Wall Street analysts expected a smaller adjusted
profit of 64 cents per share, on lower revenue of $327.4
Looking ahead, the company narrowed its full-year outlook to a
range of $2.42 to $2.47 per share, compared with a prior guidance
of $2.35 to $2.50 per share, citing a one-time charge for the more.
Analysts currently expect $2.47 for the year.
Weight Watchers shares fell $1.32, or -3.8%, in premarket
The Bottom Line
Shares of Weight Watchers (
) have a 1.99% dividend yield, based on last night's closing stock
price of $35.17. The stock has technical support in the $30-$32
price area. If the shares can firm up, we see overhead resistance
around the $40 price level.
Weight Watchers International, Inc. (
) is not recommended at this time, holding a Dividend.com DARS™
Rating of 3.4 out of 5 stars.
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