Life Time Group (NYSE:LTH) Hits New 12-Month High After Better-Than-Expected Earnings

Key Points

• Life Time Group exceeded quarterly expectations: Revenue rose roughly 14% year over year to $893.5 million, while adjusted EPS of $0.51 surpassed the $0.41 consensus estimate.
• Management raised its 2026 earnings outlook after adjusted net income increased 24.6% and adjusted EBITDA grew 16.5%; the results marked the company’s sixth consecutive earnings beat.
• Shares jumped 6.7% to a new 52-week high, supported by predominantly bullish analyst ratings and a $55.36 consensus price target, although insiders sold nearly 7 million shares worth about $306 million over the past three months.

Shares of Life Time Group Holdings, Inc. (NYSE:LTH - Get Free Report) hit a new 52-week high during trading on Thursday following a better than expected earnings announcement. The stock traded as high as $47.32 and last traded at $46.2170, with a volume of 89,582 shares traded. The stock had previously closed at $43.14.

The company reported $0.51 EPS for the quarter, beating analysts' consensus estimates of $0.41 by $0.10. Life Time Group had a return on equity of 10.56% and a net margin of 13.07%. The firm had revenue of $893.52 million for the quarter, compared to analysts' expectations of $874.98 million. During the same quarter in the prior year, the firm posted $0.41 earnings per share. The company's quarterly revenue was up 14.1% on a year-over-year basis.

Life Time Group News Roundup

Here are the key news stories impacting Life Time Group this week:

• Positive Sentiment: Third-quarter results exceeded expectations. Revenue increased 14.2% year over year to $893.5 million, ahead of the $875.0 million analyst estimate. Adjusted diluted EPS was $0.51, versus consensus estimates ranging from $0.45 to $0.41 and $0.41 in the prior-year quarter. Life Time Reports Third Quarter 2026 Financial Results
• Positive Sentiment: Profitability improved substantially on an adjusted basis. Adjusted net income rose 24.6% to $115.9 million, while adjusted EBITDA increased 16.5% to $256.3 million. Adjusted EPS grew 24.4%, indicating operating leverage despite only low-single-digit membership growth. Life Time Group Posts Double-Digit Revenue Increase
• Positive Sentiment: Life Time raised its 2026 earnings outlook. The upgraded guidance signals management expects the recent earnings momentum and margin gains to continue through the remainder of the year. Life Time Raises 2026 Earnings Guidance
• Positive Sentiment: The earnings beat extends Life Time’s streak to six consecutive quarters, supporting investor confidence in the company’s execution and forecasts. Life Time Beats Estimates for a Sixth Straight Quarter
• Neutral Sentiment: Morgan Stanley projected strong appreciation for LTH, while Barclays recently initiated research coverage. These developments may broaden institutional attention, although the available reports do not provide enough detail to assess the analysts’ specific assumptions or ratings. Morgan Stanley Forecasts Strong Price Appreciation

Wall Street Analyst Weigh In

A number of analysts have weighed in on LTH shares. Jefferies Financial Group reiterated a "buy" rating on shares of Life Time Group in a research note on Wednesday, September 23rd. Mizuho boosted their target price on shares of Life Time Group from $64.00 to $68.00 and gave the company an "outperform" rating in a research note on Tuesday. Barclays assumed coverage on shares of Life Time Group in a research note on Monday. They issued an "overweight" rating and a $51.00 price target on the stock. 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. Finally, Zacks Research cut shares of Life Time Group from a "strong-buy" rating to a "hold" rating in a research report on Monday, October 19th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat.com, the company presently has an average rating of "Buy" and a consensus target price of $55.36.

Insiders Place Their Bets

In other news, CEO Bahram Akradi sold 438,257 shares of Life Time Group stock in a transaction that occurred on Friday, July 31st. The shares were sold at an average price of $45.03, for a total value of $19,734,712.71. Following the transaction, the chief executive officer owned 3,615,086 shares of the company's stock, valued at $162,787,322.58. The trade was a 10.81% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director John G. Danhakl sold 2,879,154 shares of the stock in a transaction that occurred on Wednesday, August 26th. The shares were sold at an average price of $43.80, for a total transaction of $126,106,945.20. Following the sale, the director directly owned 3,029,450 shares of the company's stock, valued at $132,689,910. The trade was a 48.73% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 6,971,850 shares of company stock valued at $306,262,084 in the last three months. 13.30% of the stock is currently owned by insiders.

Institutional Trading of Life Time Group

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Root Financial Partners LLC acquired a new stake in Life Time Group during the 3rd quarter worth about $36,000. Nykredit A S acquired a new position in shares of Life Time Group in the second quarter valued at about $47,000. EverSource Wealth Advisors LLC increased its holdings in shares of Life Time Group by 49.5% in the first quarter. EverSource Wealth Advisors LLC now owns 1,772 shares of the company's stock valued at $48,000 after purchasing an additional 587 shares during the period. Anchor Investment Management LLC purchased a new position in shares of Life Time Group in the second quarter worth about $68,000. Finally, Versant Capital Management Inc lifted its holdings in shares of Life Time Group by 286.7% during the second quarter. Versant Capital Management Inc now owns 1,806 shares of the company's stock worth $74,000 after purchasing an additional 1,339 shares during the period. Hedge funds and other institutional investors own 79.40% of the company's stock.

Life Time Group Trading Up 6.7%

The stock has a 50-day moving average of $41.67 and a 200 day moving average of $35.07. The stock has a market cap of $10.29 billion, a PE ratio of 25.07, a price-to-earnings-growth ratio of 1.51 and a beta of 1.49. The company has a quick ratio of 0.56, a current ratio of 0.66 and a debt-to-equity ratio of 0.44.

About Life Time Group

Life Time Group Holdings, Inc NYSE: LTH operates a network of luxury athletic country clubs in the United States and Canada. The company's facilities combine fitness, sports, health, and wellness services in an integrated club environment designed for individuals and families.

Life Time clubs typically offer cardiovascular and strength-training equipment, group fitness classes, personal training, indoor and outdoor pools, tennis, pickleball, basketball, and other athletic programs. Many locations also provide childcare, spas, cafés, workspaces, recovery services, and specialized programs for children, older adults, and other member groups.

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