Will Oprah Continue To Help Weight Watchers' Share Price?

Over the past three months, shares of Weight Watchers International Inc. WTW have gained more than 200 percent in large part due to media mogul Oprah Winfrey's decision to buy a 10 percent stake in the company.

When Winfrey's purchase was made public, the stock shot up more than 100 percent. Now, with Winfrey making her debut as the face of Weight Watchers heading into the new year, many are wondering if the company can continue on an upward trajectory.

Losing Interest

While Weight Watchers has been one of the most popular diet options for Americans, a shift in consumer preferences from traditional diets to healthy, all-natural foods caused the company to fall out of favor. Not only that, but the excitement surrounding wearables that track fitness metrics captivated younger people and caused many to opt for exercise plans rather than diets.

Reviving The Brand

However, adding Oprah as a spokesperson could breathe new life into the diet plans as her celebrity status is counterbalanced by her image as an ordinary woman. Winfrey has struggled with her weight for years, making her story a relatable one, something the firm hopes will capture the attention of new customers. The company is also planning to change its food guidelines and reshape its weight loss plans to include a greater emphasis on fitness.

Still A Question Mark

While Weight Watchers is certainly working to remake itself in the new year, some analysts are still skeptical as to whether or not Winfrey alone can turn the brand around. Although Oprah has a large following, some question whether or not having her on board is compelling enough to boost membership numbers.