Fitbit Stock Focusing on Growth in 2017
Fitbit Inc (NYSE:FIT) stock has been trying to make a comeback over the last few trading sessions after a disappointing performance in 2016. FIT stock had suffered in the last holiday shopping season, on account of its production issues.
The company was in the news recently when it bought the smartwatch maker Pebble. As per latest reports, Fitbit has again set its eyes on another smartwatch maker.
Fitbit has bought the smartwatch startup Vector, which was known for its smartwatch launched in 2015. The Vector watch had a 30-day battery life, a Pebble-like user interface, and a classic watch design that made it a great device for someone looking for a non-geeky smartwatch. As Fitbit integrates Vector’s hardware and software know-how with its own, the brand Vector will no longer exist, just like Pebble. (Source: “Fitbit just bought another smartwatch startup,” Engadget, January 10, 2017.)
Vector announced that the Vector Watch software platform and team will join the Fitbit family. “The magical smartwatch with 30-days battery life,” “luxurious design,” and “stylish product with a tech spin” are few of the ways Vector customers have described the Vector Watch since its launch in 2015. (Source: “The Vector Watch software platform and team joined the Fitbit family,” Vector, last accessed January 10, 2017.)
Just ahead of the CES 2017 trade show, Fitbit introduced an update to its “Blaze” device and enhanced its health and fitness platform to deliver more personalized insights, smarter guidance, and more motivation, with new interactive features in the Fitbit app and the “Fitstar Personal Trainer” app.
Fitbit CEO James Park said that the company wants to make health fun, engaging, and meaningful, as well as transform the personal value of Fitbit devices from beloved fitness trackers to an integral part of the customers’ life. Park conveyed how the company is focusing on getting more people to exercise by using more financial incentives and games.
The company recently expanded its partnership with UnitedHealth Group Inc (NYSE:UNH), which offers financial incentives to its members for meeting activity goals under its wellness program. Fitbit will offer a customized Fitbit “Charge 2” to program participants. Such partnerships bode well for the company, as well as for FIT stock.
With Fit stock trading at such low levels and, given the grand plans of the company to dominate the fitness wearable market, there might be some investor interest in Fitbit stock. However, there will be a focus on the company’s next financial results, and on management announcements that would give more clarity about the company’s plans.