New Fitness Craze Can Double Your Money with This Top Stock to Buy

I just found a stock in the health and wellness sector that could double by the end of the year.

This industry has taken a few hits over the last year and is finally showing signs of breaking out to the upside.

You see, I pay close attention to the Money Morning Stock VQScore™ system every day. And right now, stocks in the health industry are looking strong...

Our proprietary algorithm tracks the 1,500 most profitable companies in the world and assigns each a score.

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The higher the VQScore, the better.

Our system ranks stocks on the likelihood that each will break out over the long run.

But often, it delivers investors incredible gains in just a few weeks or months.

Just look at Gray Television Inc. (NYSE: GTN)... It hit our top 25 on Feb. 1 and has already climbed 45% since.

That stock is on a great trajectory, but it no longer holds our highest VQScore.

So, I found another stock for you that holds our top rating today and could easily double your money by winter.

How My Recent Move Helped Me Uncover This Stock

Now that I've snuck out of winter's grip in Chicago and moved down to Naples, Fla., my day is spent by the pool looking for the best stocks that could double.

The first thing I noticed when I moved to Naples - aside from the weather - was the demographics.

I've gone from Chicago, where the average age is 31, to Naples, where the average age is 49.

The city is full of wealthy, older Americans who drive BMWs and Mercedes and live in multimillion-dollar homes.

This older generation - they play hard. But they also work hard. I regularly see people in their 60s, 70s, and 80s working out each day harder than I ever do.

The trend of healthy living continues to grow into a big business. And eyeing that trend, I noticed that one company in the health and wellness business is a screaming top stock to buy right now...

The Best Health Stock to Buy Right Now

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The Money Morning Stock VQScore™ system just identified Tivity Health Inc. (NASDAQ: TVTY) as one of its next top stocks.

Tivity Health is the rebranded fitness and health improvement company Healthways. The company changed its name in January 2017.

Prior to its $1.3 billion purchase of diet plan giant Nutrisystem last year, the firm was best known for its SilverSneakers senior fitness program to Medicare subscribers.

Tivity also operates Prime Fitness, which operates 10,000 fitness centers to members of commercial health plans. It also offers health services like chiropractic care, acupuncture, physical therapy, occupational therapy, and speech therapy.

Tivity health stock bottomed out in March, months after it bought Nutrisystem. Wall Street hated the deal because analysts thought that Tivity overpaid a 30% premium. Shares have fallen from more than $41 per share to as little as $16.25.

The stock fell to the point where it became a rock-bottom bargain.

But over the last three weeks, Tivity has started building positive momentum, climbing 24%. This stock is just heating up and still has a long way to run - because its 4.75 VQScore is signaling demand for TVTY shares is just picking up now.

And that isn't the only metric supporting my claim...

The stock is trading at 8.9 times price to earnings, well below its industry average of 29.1. Its price-to-book is just 2.25, well below the sector average of 6.05.

The firm's net profit margins register at 16.15%, nearly five times the industry average. And the company generates a return on equity of 30.5%, more than double its average competitor.

But there's one more thing I need to highlight to show the full potential of this company...

Nutrisystem Will Drive TVTY Higher

The Nutrisystem deal was expensive and destroyed about $1 billion in market cap for Tivity in a very short time. But everything looks done.

CEO Donato Tramuto explained that it represented a "huge value proposition" given that both companies had complementary business models. The deal also included The South Beach Diet and DNA Body Blueprint brands.

With more Americans joining the legion of Baby Boomers in retirement, health and wellness remains an industry with solid fundamentals and significant upside. Right now, 15 million Americans are eligible to join SilverSneakers, the largest community fitness program for seniors in the United States.

The downturn in price after the Nutrisystem deal signaled that investors were anticipating the worst-case scenario for the company.

But even if the company shows any level of success offering Nutisystem as a complement to its SilverSneakers, Prime Fitness, WholeHealth Living and flip50 programs, then Wall Street will look back and wonder how it missed one of the best buying opportunities this year.

Should TVTY quickly integrate Nutrisystem and wind down debt, the stock has upside to $40 per share over the next 12 months. That's 100% higher from here.

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In fact, some of these devices are showing up right in your neighborhood - and I'm willing to bet you didn't even notice.

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About the Author

Garrett Baldwin is a globally recognized research economist, financial writer, consultant, and political risk analyst with decades of trading experience and degrees in economics, cybersecurity, and business from Johns Hopkins, Purdue, Indiana University, and Northwestern.

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