Nutrisystem, Inc. (NTRI)
Rating: BUY Price Target: $32 - 35
Market Cap: $786.64 M Stock Price: $26.14
Industry: Health & Wellness Date: May 9, 2016
Buy Side Report (CMAM Immersion)
Nutrisystem, Inc. (NTRI)
Rating: BUY Price Target: $32 - 35
Market Cap: $786.64 M Stock Price: $26.14
Industry: Health & Wellness Date: May 9, 2016
Buy Side Report (CMAM Immersion)
Contents
Investment Rationale 1
Company Profile and History 2
Company Products 3
Industry Overview 4
Competitive Position 6
Growth Factors 7
Valuation and Comparable Analysis 8
Investment Risks 9
Management Profile 10
Contact Information 11
Investment Rationale
TurnAround Opportunity
…show more content…
Valuation
My $32 price target is derived from primarily a discounted cash flow analysis, but also confirmed with a relative comparison analysis. My price target implies a forward P/E of about 29.19x, which is slightly higher than the consensus estimate of 22.32. It also implies a forward EV/Revenues multiple of 1.6x, which is its historical multiple as well. The prospects for continued new customer growth and brand expansion (in addition to the recent acquisition of South Beach Diet) coupled with a debt-free balance sheet and improving free cash flow should allow for multiple expansions beyond the current consensus estimates.
Company Profile and History
Nutrisystem, Inc. (Nasdaq:GS: NTRI) is a provider of weight management products and services, including nutritionally balanced weight loss programs, multi-day kits available at retail locations and digital tools to support weight loss. It is the leading provider of home-delivered weight-loss meal plans in the United States. Typically, NTRI’s program customers purchase monthly food packages containing a four-week meal plan consisting of breakfasts, lunches, dinners and snacks and flex meal plan recipes, which they supplement with fresh fruits, vegetables and dairy. Most customers order on an auto-delivery basis, which means a four-week meal plan is sent on an ongoing basis, which is priced between $300.00 and $330.00 per shipment, until notified of a customer’s cancellation. NTRI offers pre-selected
TCO 5) Sex hormones and adrenal hormones are substances derived from which class of lipid?
In life you may hear people say that “all you need is a good lawyer”, but what makes someone a good lawyer? In the books to kill a mockingbird, and a lesson before dying there are two lawyers who are held responsible to defend a case. These men are atticus finch and JL, and Although both men are qualified lawyers, there are several differences between the way they argue their cases. Throughout the books we can see that Atticus does a better job of defending his case because he uses rhetorical devices and appeals correctly such as concession to the opposition, warrants, and pathos.
Did you know that diet plays a major role in baby's growth and development? The principles of healthy eating are the same during preconception period as well as pregnancy; the amount depends on your height, weight, physical activity and due date. The focus should be plenty of fruits, vegetables, whole grains, lean protein and healthy fats. The important nutrients needed for a healthy maternal and fetal outcome are folic acid, iron, calcium, Vitamin D and protein.
Write 50- to 200-word responses to each of the following questions based your findings. Use your own words and provide examples to support your answers.
Nutrisystem comes with 4 meal plans, Men’s, Women’s, Diabetic, and Vegetarian. Each of these plans also has 3 selection plans to choose from, Basic, Choice, and Select which determine what food selections you have privilege to and also determine the cost you will pay. Those will be discussed in detail in a later section. Nutrisystem offers 163 different food choices including protein shakes. A breakdown of the fiber, protein, and sodium shows an average of 3.75g of fiber, 10g of protein, and 332.5mg of sodium for a Nutrisystem breakfast, lunch, and dinner combined. When each member signs up for the
Zack’s recently downgraded the share price from a buy to a hold, while analysts at Canaccord Genuity continue to keep a buy rating on the stock with a price target of $27 per share. Out of five analysts polled, four of the five place a buy recommendation on the stock with a price target of $26 to $27 per share.
An advantage to the Nutrisystem diet would be steady weight loss and a convenient way to get oneself on track. In addition, no food is restricted in and of itself. Other foods besides the package system are available for the participant to enjoy. There are specific concepts for each dieter based on their other types of conditions. Different tracks for older adults and diabetics are made available ("health and wellness,"2014).
The name of the dieting fad that I found is Nutrisystem. I found this fad on the internet. This diet requires you to have a change in your eating patterns and suggests exercising. The cost of this program is $9.82 a day, or $274.99 for the whole 4-weeks. This plan provides food for almost every meal, but you’re on your own for one lunch and dinner a week. Additionally, if you choose to exercise, they do not provide anything to help you work out. On average, about 3.25 pounds might be lost in one week, but 1-2 are guaranteed. Losing 3.25 pounds a week isn’t healthy, but 1-2 to is. Nutrisystem sends you prepackaged meals, but doesn’t counsel you at all. They don’t care how much weight you actually lose, they just want your money.
After going through my DRI reviews for this project to be honest I was not sure what normal level range my DRI should stand within. But reading through the assignment instruction I found out that my DRI % all should be in a level range of 100%. It was shocking to me because most of my nutrients, minerals, and vitamins are in recommended range, in a middle of a standard range, and even some below recommended range. The first one that caught my eye is carbohydrate intake level where I fell below recommended range. Carbohydrate is a very important component in our body it breaks down into glucose, in your blood sugar which helps brain and nervous system supply with energy source, muscles and other elements of the body to function properly. The human body
Google and Yahoo have a calculation of the P/E but both are different being $12.22 and $11.96 respectively at this current point in time. The main reason for the current difference in P/E is the discrepancy in earnings per share of $.10. To find historical P/E ratios for Target i have to do a google search and it brought up a site call YCharts. For the year of 2016 they do not give you an average but plotting a few point and finding an average I came up with about $12.84 for a ten year chart I would have had to sign up for a free trial but 2016 looked about average compared to pre 2014 when the stock was on a quick rise. Looking at a rough five year average of $17.97 the $11.92 is really low. In other words the current P/E is on the low side which may indicate a time to buy.
Understanding of the full complexity of genetic factors that underpin such observations is currently limited. However, a number of examples of single gene –diet interactions have been reported, resulting in the development of nutrigenetic testing as a new paradigm for health management. Nutrigenetic testing focuses on testing for DNA polymorphisms which are known to influence phenotypic responses to diet. The purpose of testing is to use this genotype information to provide more personalised advice about nutrition and health, the primary goal being to use an individual’s genetic information to predict their future health susceptibilities and to guide selection of ‘the best’ preventative
The board decided that the company should be judged on its ability to make a profit, gain market share, provide positive ROA and make money for our shareholders with an increasing stock price. Our target was a stock price of $38
I think about my experience at Wright and how the repeated moments of care with my classmates and professors developed a secure base for me. Over time, my graduate experience has become a new template for creating healthy attachments with others. Through repetitive practice, I am learning how to receive care and nourishment from more people than just the small select few in my life. I started practicing new attaching behaviors by being open and sharing with others. I started asking for help and received it. I wanted more nourishment so I looked to others who were able to provide nourishment to me rather than continuing to expect the crumbs of nourishment I was receiving to satisfy me. This refers to my mistaken belief in scarcity and
Mushroom have been widely used as food and food supplements. It is an important food item concerning human health, nutrition and disease prevention. Dietary mushrooms provide a variety of medicinal properties and they are effective against certain life threatening diseases. Mushrooms are not true vegetables in the sense that it does not have any leaves therefore contain no chlorophyll, roots or seeds and really does not need any light to grow. It is a fungus which grows in dark and propagates by releasing spores. Mushrooms are found all over the world and have been a time honoured food in many cultures.
I went scuba diving this past summer and my instructor told me that there is only about 0.7% available as fresh drinkable water. I understand the importance of water which is what got me thinking about ways to increase that percentage of the fresh drinking water in the world.