WeightWatchers stock drops 25% following Oprah Winfrey’s resignation from board

WeightWatchers Shares Plunge by 25% After Oprah Winfrey Announces Departure from Board

In a surprising turn of events, WeightWatchers saw its shares drop by more than 25% in premarket trading on Thursday following Oprah Winfrey’s announcement that she will not seek reelection to the company’s board at the upcoming annual meeting of shareholders in May. Winfrey has been a member of the board since 2015.

Despite an initial rally at the opening bell, the stock remained down by 23% midday Thursday. Winfrey stated, “I look forward to continuing to advise and collaborate with WeightWatchers and CEO Sima Sistani in elevating the conversation around recognizing obesity as a chronic condition, working to reduce stigma, and advocating for health equity.”

Additionally, Winfrey revealed her plans to donate her financial interest in WeightWatchers to the National Museum of African American History and Culture in Washington, D.C. She emphasized the importance of addressing weight health on a broader scale and pledged to participate in public forums and events as an advocate for the cause.

The Board of Directors of WeightWatchers expressed their support for Winfrey’s decision to donate her stock to the museum, stating that it will eliminate any perceived conflict of interest. The company also released its latest financial report, showing a total loss of $88.1 million in the fourth quarter of 2023, more than double the amount from the previous year.

Thilo Semmelbauer, chairman of the board, thanked Winfrey for her contributions and expressed gratitude for her continued collaboration with the company. WeightWatchers issued a statement expressing their appreciation for Winfrey’s dedication and support over the years, highlighting her impact on the brand and its members.