WW International's (WW) Q2 results came in ahead of expectations, but the company is facing "worsening core trends" into H2 that may hit its revenue run rate, Morgan Stanley analysts said in a note Tuesday.

With clinic subscriptions "temporarily shrinking due to the compounding removal, finding the base and normalized growth from here is the primary question," the analysts said.

WW's 2025 revenue and EBITDA outlook were "largely in-line with the lender presentation, but do imply a material [deceleration] in the back half," Morgan Stanley said.

WW "largely attributed this to weakening international resonance post-bankruptcy which has led recent trends to decelerate and pressures the revenue run rate into FY26," the note said.

Morgan Stanley kept its equal-weight rating on WW, while cutting the price target to $41 from $45.

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