According to Zacks, “Shares of Planet Fitness have outperformed the industry in the past year. This momentum is likely to continue as investors are impressed with the company’s better-than-expected earnings trend and robust same-store sales performance. During first-quarter 2019, it posted the 41st straight quarter of positive same-store sales. Meanwhile, increase in net member and higher average royalty rate has been driving comparable sales. Additionally, increased Black Card pricing bodes well. Planet Fitness’ consistent focus on partnership and international expansion to drive growth is an added positive. Recently, it announced partnership with Kohl’s. Over the past 30 days, the consensus mark for the year has witnessed upward revisions, reflecting analysts’ optimism on the company’s growth potential. However, high debt remains a concern.”
Several other analysts have also recently commented on the stock. Macquarie raised shares of Planet Fitness from a neutral rating to an outperform rating and lifted their target price for the stock from $64.00 to $85.00 in a research note on Tuesday, May 7th. Jefferies Financial Group raised shares of Planet Fitness from a hold rating to a buy rating and lifted their target price for the stock from $49.00 to $75.00 in a research note on Friday, February 22nd. They noted that the move was a valuation call. Cowen reaffirmed an average rating and issued a $85.00 target price (up from $65.00) on shares of Planet Fitness in a research note on Monday, April 29th. Roth Capital lifted their target price on shares of Planet Fitness from $55.00 to $65.00 and gave the stock a buy rating in a research note on Wednesday, February 27th. Finally, Bank of America reaffirmed a buy rating and issued a $86.00 target price (up from $72.00) on shares of Planet Fitness in a research note on Wednesday, May 1st. Four research analysts have rated the stock with a hold rating, nine have given a buy rating and one has issued a strong buy rating to the company’s stock. Planet Fitness has an average rating of Buy and an average price target of $67.57.
Planet Fitness (NYSE:PLNT) last released its earnings results on Thursday, May 2nd. The company reported $0.35 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $0.34 by $0.01. The firm had revenue of $148.82 million during the quarter, compared to analysts’ expectations of $153.41 million. Planet Fitness had a net margin of 15.91% and a negative return on equity of 53.73%. Planet Fitness’s revenue for the quarter was up 22.7% on a year-over-year basis. During the same period in the previous year, the company earned $0.27 EPS. As a group, equities analysts anticipate that Planet Fitness will post 1.55 earnings per share for the current fiscal year.
In other Planet Fitness news, CEO Christopher Rondeau sold 6,000 shares of Planet Fitness stock in a transaction on Friday, February 22nd. The shares were sold at an average price of $60.53, for a total value of $363,180.00. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CFO Dorvin D. Lively sold 100,000 shares of Planet Fitness stock in a transaction on Friday, March 8th. The shares were sold at an average price of $63.52, for a total transaction of $6,352,000.00. Following the completion of the transaction, the chief financial officer now owns 98,883 shares in the company, valued at approximately $6,281,048.16. The disclosure for this sale can be found here. In the last quarter, insiders sold 466,291 shares of company stock worth $29,813,238. 14.52% of the stock is owned by company insiders.
Several institutional investors and hedge funds have recently made changes to their positions in the business. US Bancorp DE boosted its holdings in shares of Planet Fitness by 28.7% in the 1st quarter. US Bancorp DE now owns 645 shares of the company’s stock valued at $44,000 after purchasing an additional 144 shares during the last quarter. Prudential Financial Inc. lifted its holdings in shares of Planet Fitness by 2.2% during the 4th quarter. Prudential Financial Inc. now owns 9,627 shares of the company’s stock valued at $516,000 after acquiring an additional 203 shares in the last quarter. Bessemer Group Inc. lifted its holdings in shares of Planet Fitness by 30.6% during the 4th quarter. Bessemer Group Inc. now owns 1,127 shares of the company’s stock valued at $60,000 after acquiring an additional 264 shares in the last quarter. ETRADE Capital Management LLC lifted its holdings in shares of Planet Fitness by 4.0% during the 4th quarter. ETRADE Capital Management LLC now owns 6,864 shares of the company’s stock valued at $368,000 after acquiring an additional 267 shares in the last quarter. Finally, Commonwealth Equity Services LLC lifted its holdings in shares of Planet Fitness by 1.2% during the 1st quarter. Commonwealth Equity Services LLC now owns 22,839 shares of the company’s stock valued at $1,569,000 after acquiring an additional 273 shares in the last quarter. Institutional investors own 96.02% of the company’s stock.
Planet Fitness Company Profile
Planet Fitness, Inc, together with its subsidiaries, franchises and operates fitness centers under the Planet Fitness name. It operates through three segments: Franchise, Corporate-Owned Stores, and Equipment. The Franchise segment is involved in franchising business in the United States, Puerto Rico, Canada, the Dominican Republic, and Panama.
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