Guggenheim Reiterates Buy Rating for Life Time Group (NYSE:LTH)

Key Points

• Guggenheim reaffirmed its Buy rating on Life Time Group and set a $50 price target, implying approximately 14% upside from the stock’s $43.85 opening price.
• Analyst sentiment remains strongly positive, with a consensus Buy rating and an average price target of $53.77; recent firms including RBC, Goldman Sachs and KeyCorp also issued bullish recommendations.
• Life Time Group exceeded quarterly expectations, reporting $0.48 in EPS versus $0.37 expected and revenue of $866 million, up 13.7% year over year. However, insiders sold more than 12.3 million shares worth roughly $396.1 million over the past 90 days.

Life Time Group (NYSE:LTH - Get Free Report)'s stock had its "buy" rating reaffirmed by equities researchers at Guggenheim in a research note issued to investors on Wednesday,Benzinga reports. They currently have a $50.00 price objective on the stock. Guggenheim's price target suggests a potential upside of 14.02% from the stock's current price.

LTH has been the topic of several other reports. Weiss Ratings upgraded shares of Life Time Group from a "buy (b-)" rating to a "buy (b)" rating in a report on Thursday, August 6th. Royal Bank Of Canada lifted their target price on shares of Life Time Group from $50.00 to $60.00 and gave the stock an "outperform" rating in a research report on Friday, July 31st. The Goldman Sachs Group initiated coverage on Life Time Group in a report on Monday, August 3rd. They issued a "buy" rating and a $53.00 target price for the company. KeyCorp lifted their price target on Life Time Group from $40.00 to $52.00 and gave the stock an "overweight" rating in a report on Friday, July 31st. Finally, Zacks Research raised Life Time Group from a "hold" rating to a "strong-buy" rating in a research report on Thursday, July 23rd. Two investment analysts have rated the stock with a Strong Buy rating and thirteen have issued a Buy rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Buy" and a consensus target price of $53.77.

Life Time Group Price Performance

Life Time Group stock opened at $43.85 on Wednesday. The stock has a market capitalization of $9.80 billion, a price-to-earnings ratio of 23.83, a PEG ratio of 1.56 and a beta of 1.50. Life Time Group has a 52-week low of $24.14 and a 52-week high of $47.24. The stock's 50 day moving average price is $40.05 and its two-hundred day moving average price is $32.77. The company has a debt-to-equity ratio of 0.44, a quick ratio of 0.56 and a current ratio of 0.66.

Life Time Group (NYSE:LTH - Get Free Report) last issued its earnings results on Thursday, July 30th. The company reported $0.48 EPS for the quarter, beating the consensus estimate of $0.37 by $0.11. Life Time Group had a return on equity of 10.56% and a net margin of 13.07%.The company had revenue of $866.00 million during the quarter, compared to the consensus estimate of $845.75 million. During the same period last year, the business posted $0.37 EPS. The firm's revenue for the quarter was up 13.7% compared to the same quarter last year. On average, equities analysts predict that Life Time Group will post 1.57 earnings per share for the current year.

Insider Transactions at Life Time Group

In related news, Director John G. Danhakl sold 3,006,100 shares of the stock in a transaction dated Thursday, May 21st. The stock was sold at an average price of $32.51, for a total transaction of $97,728,311.00. Following the sale, the director owned 13,236,283 shares of the company's stock, valued at approximately $430,311,560.33. This represents a 18.51% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, major shareholder Partners Group Private Equity sold 449,960 shares of Life Time Group stock in a transaction dated Thursday, May 21st. The shares were sold at an average price of $32.51, for a total value of $14,628,199.60. Following the transaction, the insider directly owned 1,981,243 shares of the company's stock, valued at $64,410,209.93. The trade was a 18.51% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 12,346,029 shares of company stock valued at $396,108,368. 13.30% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Life Time Group

Several hedge funds have recently bought and sold shares of LTH. Vanguard Group Inc. boosted its holdings in Life Time Group by 1.1% in the 4th quarter. Vanguard Group Inc. now owns 13,643,761 shares of the company's stock valued at $362,651,000 after purchasing an additional 143,487 shares during the period. Dimensional Fund Advisors LP increased its holdings in shares of Life Time Group by 15.2% in the first quarter. Dimensional Fund Advisors LP now owns 8,090,037 shares of the company's stock worth $217,929,000 after purchasing an additional 1,068,208 shares during the period. Ameriprise Financial Inc. increased its holdings in shares of Life Time Group by 41.3% in the second quarter. Ameriprise Financial Inc. now owns 7,157,957 shares of the company's stock worth $216,644,000 after purchasing an additional 2,091,712 shares during the period. Wellington Management Group LLP raised its position in shares of Life Time Group by 0.6% in the fourth quarter. Wellington Management Group LLP now owns 5,863,510 shares of the company's stock worth $155,852,000 after buying an additional 34,964 shares in the last quarter. Finally, Bank of America Corp DE raised its position in shares of Life Time Group by 102.1% in the third quarter. Bank of America Corp DE now owns 4,268,011 shares of the company's stock worth $117,797,000 after buying an additional 2,156,033 shares in the last quarter. Hedge funds and other institutional investors own 79.40% of the company's stock.

Life Time Group Company Profile

Life Time Group NYSE: LTH is a premier operator of health, fitness and lifestyle centers across North America. The company's core business encompasses the development, ownership and management of premium athletic resorts that integrate state-of-the-art fitness facilities, group exercise studios, indoor and outdoor pools, running tracks, and spa and salon services. In addition to its brick-and-mortar clubs, Life Time offers a digital platform featuring on-demand and live-streamed workouts, personalized training programs and nutrition guidance, enabling members to pursue their wellness goals both at home and on the go.

Founded in 1992 and headquartered in Chanhassen, Minnesota, Life Time has grown from a single Minnesota health club into a network of more than 160 locations across the United States and Canada.

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