WeightWatchers stock surges 70% after company agrees to buy obesity treatment platform

In Health


Weight Watchers brand ice cream in a supermarket freezer in New York.

Richard Levine | Corbis News | Getty Images

Shares of WW International, also known as WeightWatchers, skyrocketed Tuesday after the company said it planned to buy Sequence, a telehealth platform that provides treatment for obesity.

The stock was up more than 70% on Tuesday afternoon. Its market value stood at more than $470 million.

“It is our responsibility, as the trusted leader in weight management, to support those interested in exploring if medications are right for them,” WW CEO Sima Sistani said in a Monday announcement.

Tuesday’s jump follows a year of sagging performance for the stock. Shares of the company were down 57% over the past year as it struggled to pivot to wellness and move away from weight loss.

Sistani took over as chief executive at the end of February, steering the company back toward weight loss messaging.

The Sequence announcement comes as companies across the weight loss industry look to offer obesity medications as a pathway to customers looking to shed pounds.

The trend has led to a shortage in medications like Ozempic, which are commonly prescribed for Type 2 diabetes.



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