NutriSystem, Inc. (NTRI)

DrQuack (< 20) Submitted: 2/25/07 10:02 AM : Start Price: $45.15 NTRI Score: -27.27

My biggest reservation about NTRI is that they care about cash more than their mission and their customers. This is a major problem- because I think their customers feel it and choose not to stay more than a few months because they feel like they're getting ripped off.

This said- NTRI stock price has been beaten down beyond all reason after a few analyst downgrades (their new predictions still imply the stock price will nearly double by next year). There was a panic and a run on the stock because everyone thought the company was going under. This is hardly the case... not with their brand name recognition, the growing obesity epidemic, and their tiny market penetration (and thus room for growth).

This is a great buying opportunity- at least until the price comes up to a more reasonable level. This represents a great deal on an okay company. I may unload this one once the stock is appropriately priced though... I prefer to keep my cash in companies who put their mission first.

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