Weight Watchers Teams up with Oprah Winfrey

Investors flocked to Weight Watchers shares in the wake of the news, sending the stock up 85% to $12.55 at 11:20 a.m. Monday.

The rising price of shares might reflect the power behind the Winfrey brand in pushing interest in programs and products that are health related as much as it reflects a bet by her on the company’s financial prospects.

The former talk-show host’s frankness about her personal struggles with weight loss may help to revive the brand but analysts said her influence on young people was uncertain. She also joins the company’s board, which grows from nine to 10 members.

This video includes images from Getty Images. She has also earned a seat at the company’s board of directors, now encompassing ten members.

According to the Guardian, the famous media person had bought its shares on Friday for $6.79.

While Winfrey made out big with her multi-million dollar win, USA Today notes that she’s not the only one, as Artal raked in a massive $209.9 million profit with the day’s events.

Weight Watchers, which provides online subscriptions for weight management and coaching, has seen its subscriber base dwindle in the face of free mobile weight management apps and fitness bands such as those of Fitbit Inc.

According to reports, Weight Watcher’ business had been suffering in recent months.

You get a Weight Watchers membership and you get a Weight Watchers membership.

Winfrey and Weight Watchers said the move comes as part of a new emphasis at the company away from just weight loss, adding a focus on overall health and happiness. “Through our conversations, it became clear that there is a tremendous alignment between Oprah’s intention and our mission”.

While the publicity is undoubtedly helping shares of Weight Watchers Monday, the price jump could be the result of what is known as on Wall Street as a “short squeeze”.

“We’re not going to be zeroing in on how much weight Oprah Winfrey is losing every single week”, Mark said. Throughout her talk show reign, Winfrey did not make money off endorsements, Garthwaite said.