
NutriSystem [NTRI] climbed 1,500% this year. That’s an amazing climb. I expect that it would be impossible to keep that momentum up, but if you happened to buy NutriSystem at the beginning of the year, you’d be a happy person now.
NutriSystem’s customer base is huge. Also, there are many of these customers, as the company’s target audience is the increasing number of overweight Americans. Interestingly, if the products the company offers are successful, their customer base will disappear. (Perhaps the trick is making the weight loss contingent on continous use of their product… sort of like addiction.)
I had no investments that climbed 1,500%. My best performing investment seems to be my company’s stock which has tacked on 37.5% to its stock price since the beginning of the year. I don’t really see that complete increase since I periodically invest throughout the year. This means that as the price is climbing, I’m buying at a higher price.
The investment in my company is purchased through company matching funds in my 401(k), and I don’t have much of a choice about that. It is free monry, however. As long as I contribute part of my salary to my 401(k), the company matches up to 4% of my salary. Half of that match is in company stock and the other half matches the distribution for my pre-tax portion.
What has been your best-performing investment in 2005?









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