Nutrisystem (NASDAQ:NTRI) and Weight Watchers International (NYSE:WTW) are both in the business of helping consumers lose weight. Over the past few quarters, both companies have consistently beat quarterly guidance, as their stock prices have shown. Year to date, NutriSystem is up nearly 50% while Weight Watchers is up some 250%. It's obvious WTW has been the winner so far, but how will this comparison fare going forward?
Nutrisystem Has Been Business As Usual
Nutrisystem's Q2 revenues reached $195 million, up 30% over the year, beating estimates by over $14 million. Earnings came in strong at $0.80, up 50% and beating estimates by $0.18. In addition to a strong quarterly earnings report, management raised FY17 guidance for both the top and bottom line. Revenues are now guided between $684 million and $694 million, which is a $31.5 million increase from the mid-point of the company's previous guidance. EPS is now forecasted to come in between $1.84 and $1.94. Its South Beach Diet brands continue to show signs of strength as management continues "... positioning it for meaningful top and bottom-line growth into 2018 and beyond," per CFO Mike Monahan.
