Life Time Group (NYSE:LTH) Reaches New 52-Week High - Here's What Happened

Key Points

• Life Time Group hit a new 52-week high, trading as high as $41.79 before finishing near $40.55, even as the stock was slightly down on the day. The move came on heavy volume of about 9.4 million shares.
• Wall Street analysts remain constructive on LTH, with multiple firms raising price targets and issuing buy/outperform ratings. The consensus view is now a Moderate Buy with an average price target of $43.09.
• The company’s latest earnings beat expectations, with quarterly EPS of $0.42 versus $0.39 expected and revenue up 11.7% year over year. However, recent insider selling and a somewhat stretched current ratio were also noted.

Life Time Group Holdings, Inc. (NYSE:LTH - Get Free Report)'s share price reached a new 52-week high during trading on Monday . The company traded as high as $41.79 and last traded at $40.5490, with a volume of 9440937 shares traded. The stock had previously closed at $41.01.

Wall Street Analysts Forecast Growth

Several analysts recently weighed in on LTH shares. Morgan Stanley raised their price objective on Life Time Group from $38.00 to $39.00 and gave the company an "overweight" rating in a research note on Thursday, May 14th. Royal Bank Of Canada boosted their target price on Life Time Group from $38.00 to $43.00 and gave the stock an "outperform" rating in a research note on Tuesday, June 2nd. UBS Group reissued a "buy" rating and issued a $43.00 target price on shares of Life Time Group in a report on Thursday, March 12th. Jefferies Financial Group restated a "buy" rating and issued a $41.00 price target on shares of Life Time Group in a research note on Tuesday, May 5th. Finally, Northland Securities lifted their price target on shares of Life Time Group from $43.00 to $48.00 and gave the company an "outperform" rating in a report on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat.com, Life Time Group presently has a consensus rating of "Moderate Buy" and a consensus price target of $43.09.

Life Time Group Stock Down 0.7%

The company has a current ratio of 0.53, a quick ratio of 0.42 and a debt-to-equity ratio of 0.46. The company has a market capitalization of $9.06 billion, a P/E ratio of 23.72, a PEG ratio of 1.69 and a beta of 1.55. The stock has a 50 day moving average price of $32.48 and a 200 day moving average price of $29.19.

Life Time Group (NYSE:LTH - Get Free Report) last issued its quarterly earnings data on Tuesday, May 5th. The company reported $0.42 earnings per share for the quarter, topping analysts' consensus estimates of $0.39 by $0.03. The business had revenue of $788.70 million for the quarter, compared to analyst estimates of $787.65 million. Life Time Group had a return on equity of 10.10% and a net margin of 12.56%.Life Time Group's quarterly revenue was up 11.7% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.39 EPS. On average, research analysts anticipate that Life Time Group Holdings, Inc. will post 1.48 earnings per share for the current fiscal year.

Insider Activity at Life Time Group

In other news, major shareholder Partners Group Private Equity sold 329,921 shares of the company's stock in a transaction that occurred on Thursday, June 4th. The stock was sold at an average price of $28.60, for a total value of $9,435,740.60. Following the completion of the transaction, the insider owned 1,651,322 shares of the company's stock, valued at $47,227,809.20. This represents a 16.65% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, Director John Kristofer Galashan sold 2,208,580 shares of the firm's stock in a transaction that occurred on Thursday, June 4th. The shares were sold at an average price of $28.60, for a total transaction of $63,165,388.00. Following the completion of the transaction, the director owned 11,027,703 shares of the company's stock, valued at approximately $315,392,305.80. This trade represents a 16.69% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 27,943,861 shares of company stock valued at $857,228,555. Corporate insiders own 13.30% of the company's stock.

Hedge Funds Weigh In On Life Time Group

Several institutional investors and hedge funds have recently added to or reduced their stakes in LTH. Vanguard Group Inc. grew its stake in shares of Life Time Group by 1.1% in the fourth quarter. Vanguard Group Inc. now owns 13,643,761 shares of the company's stock worth $362,651,000 after purchasing an additional 143,487 shares during the last quarter. Dimensional Fund Advisors LP raised its position in Life Time Group by 15.2% during the 1st 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 last quarter. Ameriprise Financial Inc. raised its position in Life Time Group by 41.3% during the 2nd 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 last quarter. Wellington Management Group LLP lifted its holdings in Life Time Group by 0.6% during the 4th 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 during the period. Finally, Bank of America Corp DE lifted its holdings in Life Time Group by 102.1% during the 3rd 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 during the period. 79.40% of the stock is currently owned by institutional investors and hedge funds.

About Life Time Group

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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