Life Time Group (NYSE:LTH) Trading Down 5.9% – Here’s Why

Life Time Group Holdings, Inc. (NYSE:LTH)’s share price traded down 5.9% on Wednesday . The stock traded as low as $26.02 and last traded at $26.1960. 939,300 shares traded hands during mid-day trading, a decline of 58% from the average session volume of 2,225,325 shares. The stock had previously closed at $27.85.

Analyst Ratings Changes

LTH has been the topic of several analyst reports. Weiss Ratings reiterated a “hold (c+)” rating on shares of Life Time Group in a report on Thursday, January 22nd. Guggenheim restated a “buy” rating and set a $36.00 price target on shares of Life Time Group in a research report on Friday, January 23rd. Northland Securities set a $42.00 price target on Life Time Group in a research note on Friday, January 23rd. Zacks Research lowered Life Time Group from a “hold” rating to a “strong sell” rating in a research note on Monday, January 26th. Finally, Morgan Stanley raised their target price on shares of Life Time Group from $37.00 to $38.00 and gave the stock an “overweight” rating in a report on Monday. Nine research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $36.85.

Life Time Group Price Performance

The company has a debt-to-equity ratio of 0.50, a quick ratio of 0.55 and a current ratio of 0.67. The business has a 50-day simple moving average of $28.10 and a 200 day simple moving average of $27.29. The firm has a market cap of $5.87 billion, a P/E ratio of 20.55, a price-to-earnings-growth ratio of 0.75 and a beta of 1.68.

Life Time Group (NYSE:LTH) last posted its earnings results on Tuesday, February 24th. The company reported $0.34 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.33 by $0.01. The firm had revenue of $745.10 million for the quarter, compared to analysts’ expectations of $740.09 million. Life Time Group had a return on equity of 9.75% and a net margin of 9.91%.The business’s revenue was up 12.3% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.27 earnings per share. On average, analysts anticipate that Life Time Group Holdings, Inc. will post 0.74 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, EVP Eric J. Buss sold 74,487 shares of the stock in a transaction dated Friday, November 28th. The shares were sold at an average price of $28.05, for a total value of $2,089,360.35. Following the completion of the transaction, the executive vice president directly owned 380,683 shares of the company’s stock, valued at $10,678,158.15. This represents a 16.36% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, EVP Ritadhwaja Jebens Singh sold 12,088 shares of the firm’s stock in a transaction dated Friday, January 23rd. The stock was sold at an average price of $29.75, for a total transaction of $359,618.00. Following the completion of the sale, the executive vice president owned 110,967 shares of the company’s stock, valued at $3,301,268.25. This trade represents a 9.82% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 93,948 shares of company stock worth $2,671,842. 8.70% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Vanguard Group Inc. lifted its position in Life Time Group by 1.1% during the fourth quarter. Vanguard Group Inc. now owns 13,643,761 shares of the company’s stock valued at $362,651,000 after buying an additional 143,487 shares during the period. Ameriprise Financial Inc. increased its stake in shares of Life Time Group by 41.3% in the 2nd quarter. Ameriprise Financial Inc. now owns 7,157,957 shares of the company’s stock worth $216,644,000 after acquiring an additional 2,091,712 shares in the last quarter. Dimensional Fund Advisors LP lifted its position in Life Time Group by 17.8% during the 4th quarter. Dimensional Fund Advisors LP now owns 7,021,829 shares of the company’s stock valued at $186,646,000 after acquiring an additional 1,061,839 shares during the period. Wellington Management Group LLP boosted its stake in Life Time Group by 0.6% during the fourth quarter. Wellington Management Group LLP now owns 5,863,510 shares of the company’s stock worth $155,852,000 after acquiring an additional 34,964 shares in the last quarter. Finally, Bank of America Corp DE grew its holdings in 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 purchasing an additional 2,156,033 shares during the period. 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.