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The scenario couldn't get much rosier for household products companies. Consumer demand is strong. The global economy is improving. And a weakened dollar is bolstering foreign sales -- and padding profits -- for the likes of Procter & Gamble and Colgate. Plus, a range of new products will soon delight purchasers and add to revenue growth. Among the highlights: Gillette is introducing three new razors, including one that attaches to a handle that emits tiny vibrations to make facial hair stand up and provides a cleaner shave -- at a much higher price.

The trouble is that with all this good news, virtually every analyst on Wall Street is touting the same group of stocks, driving up prices. That's why UBS researcher Andrew McQuilling is looking elsewhere. The three-time All-Star is also a fan of core companies like P&G and Gillette, mind you. But in keeping with his contrarian approach, the analyst's attention is focused on a company that is struggling right now.

Right now McQuilling's top pick is Weight Watchers (WTW, $35), a stock that's trading at a 52-week low and is roundly despised by Wall Street. It would be hard to find a less of-the-moment company. Weight Watchers, which operates classroom-based diet franchises, has been absolutely clobbered by the popularity of the Atkins diet. The low-carb frenzy is the polar opposite of the Weight Watchers philosophy of smaller portions and a sustainable diet for people who don't think it's realistic to completely give up sugar. Atkins has curtailed enrollment in Weight Watchers and cut deeply into the company's profits.

But McQuilling insists that the low-carb mania has peaked. "Have you ever tried low-carb bread?" he says. "The more people that do that, the more people will realize that low-carb is an unsustainable way to live." He says that data he has compiled show that the number of Americans on a low-carb diet has fallen 25 percent since January. It could be that five million dieters met their goals and are happy. Or perhaps they have discovered that a protein-only diet can get boring. So how does that help Weight Watchers? First, given that 65 percent of American adults are classified as overweight (up from 56 percent in 1990), there is still a huge market for diets -- and for Weight Watchers to tap into. And despite all the negative news, Weight Watchers is still bringing in lots of cash it can use to finance growth through marketing. McQuilling projects that it will generate $2.10 per share in free cash flow in 2003.