Weight Watchers (NYSE:WTW) stock was rising on Monday as analysts expect the company to impress in its earnings results for the current quarter, while its profitability is also slated to go up over the coming months.
The company is one of the stocks in the Personal Services sphere that is experiencing the most amount of movement on Monday, while trading volume is also high today. Analysts are projecting that Weight Watchers is slated to experience an earnings growth at a 42% annual rate over the coming five years.
This growth suggests that the company is slated to experience increased potential for capital appreciation. Additionally, the quality of the company’s growth is expected to be high as its profitability is slated to be on the up and up for coming years.
Weight Watchers’ EBITDA margin is of 25.10%, which suggests that the company’s growth will be a healthy type of growth that will benefit stakeholders as WTW shares will rise over the next few years.
The company’s free cash flow per share for the trailing twelve months came in at +1.27, which is higher than the industry average. On a percent-of-sales basis, WTW’s free cash flow is at around 6.47%, meaning this is the amount of its revenues that will provide cash flow.
WTW stock gained about 5.9% on Monday.