Oprah Winfrey, who is 10% owner of Weight Watchers, has seen $117 million in wealth vanish as shares of the company have crashed 66% from their high notched November 2015 on enthusiasm over her involvement with the company, according to a new report. Shares of the popular diet plan are down another 76 cents, or 7%, to $9.61 Tuesday after the company said it is replacing its CEO. The value of the company has dropped $1.2 billion in value since the peak hit after Winfrey came onboard.
The OWN network creator officially teamed up with the company in October 2015. The stock is still higher than where it was when Winfrey took her stake and became the third largest investor. However, the company lost $10.8 million in the first quarter.
Winfrey has yet to publicly address the disappointing financial outlook of the company. However,
she’s pushing for management changes. The company will replace the CEO.
As previously reported, shares soared 169% in just two days to $18.25 after the announcement of Oprah’s involvement on Oct. 19, 2015, turning into a tidy two-day profit for Winfrey of $73 million. The enthusiasm for the company continued up until November 2015 when the stock hits its high of $28.05 a shares. Overall, the value of Weight Watchers soared $1.4 billion in the months following Winfrey’s involvement.