Planet Fitness Cl A
Planet Fitness Cl A
IBD Stock Analysis
- Handle buy point at 86.01, with an aggressive entry near 84
Industry Group Ranking
Cup with Handle
* Not real-time data. All data shown was captured at
12:24PM EST on
Planet Fitness (PLNT) is Thursday’s IBD Stock Of The Day, as the gym and fitness club chain reports healthy fourth-quarter earnings. PLNT shares advanced Thursday.
Planet Fitness topped fourth-quarter earnings and revenue estimates early Thursday. The Hampton, N.H.-based company’s Q4 revenue increased 53% to $281.3 million as EPS ballooned 116% to 53 cents. Ahead of earnings, analysts projected sales of $271.5 million and EPS of 47 cents.
Founded in 1992 in Dover, N.H., Planet Fitness quickly rose to become one of the largest franchisers and operators of fitness centers in the world. Planet Fitness has roughly 17 million members with 2,410 locations across Canada, Panama, Mexico, Australia and the U.S. The outfit went public with Planet Fitness stock on Aug. 6, 2015.
For the full year, Planet Fitness reported that sales advanced 60% to $936.8 million, as 2022 earnings doubled to $1.64 per share. Planet Fitness forecasts a 13%-14% revenue increase in 2023 and adjusted earnings per share up 33%-36% vs. 2022 levels.
In 2020, during the Covid pandemic, full-year Planet Fitness earnings fell 97% to 4 cents per share. In 2021, EPS rebounded 1,950% to 82 cents.
CEO Chris Rondeau said in a statement Thursday that more than 6% of “all Americans over the age of 15 are Planet Fitness members.”
“We believe that in the future we can double our membership given our historic ability to do so and the increasing penetration we’ve experienced with each successive generation,” he said. “We believe our purpose of enhancing people’s lives and creating a healthier world sets us, our franchisees, and our shareholders up for long-term success.”
Planet Fitness Stock
PLNT shares advanced 3% to 81.50 during Thursday’s market trading. Volume surged 183%. On the month, Planet Fitness stock is down around 5%, but PLNT shares have advanced around 2% since the beginning of the year.
The Planet Fitness stock chart shows a handle in a 12-month consolidation. Investors can plot a handle buy point at 86.01. Aggressive investors could mark an entry on a move above Thursday’s highs of 84.
Wall Street sees 2023 full-year earnings growing 26% to $2.06 per share, with revenue rising 7% to $1.01 billion. If projections hold, it would be the first time the company would break the $1 billion mark in revenue.
Planet Fitness stock ranks 15th in IBD’s Leisure-Services industry group. PLNT shares have a 83 Composite Rating out of 99. Planet Fitness stock has a 76 Relative Strength Rating. The EPS Rating is also 76 out of 99.
Please follow Kit Norton on Twitter @KitNorton for more coverage.
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