Planet Fitness, Inc.

Valuation Analysis

About the Company

Planet Fitness, Inc., together with its subsidiaries, franchises and operates fitness centers under the Planet Fitness brand. The company operates through three segments: Franchise, Corporate-Owned Clubs, and Equipment. The Franchise segment includes operations related to the franchising business in the United States, Puerto Rico, Canada, Panama, Mexico and Australia. The Corporate-owned clubs segment includes operations with corporate-owned clubs in the United States, Canada, and Spain. The Equipment segment includes the sale of equipment to franchisee-owned clubs; and the sale of fitness equipment to franchisee-owned clubs in the United States, Canada, and Mexico. Planet Fitness, Inc. was founded in 1992 and is headquartered in Hampton, New Hampshire.

Planet Fitness, Inc. Stock at a Glance

Planet Fitness, Inc. (PLNT) is currently trading at $51.01 with a market capitalization of $4.1B. The trailing P/E ratio stands at 18.42x, with a forward P/E of 14.15x. The 52-week range spans from $37.03 to $114.47; the current price is 55.4% below the yearly high. Year-over-year revenue growth stands at +19.7%. The net profit margin stands at 17.77%.

💰 Dividend

Planet Fitness, Inc. currently does not pay a dividend. The company typically reinvests its earnings into growth initiatives and product development.

📊 Analyst Rating

18 analysts rate Planet Fitness, Inc. (PLNT) on consensus: Buy. The average price target is $66.64, implying +30.64% from the current price. Analyst price targets range from $45.00 to $133.00.

Planet Fitness, Inc.: The Investment Case in Detail

Planet Fitness, Inc. (PLNT) operates in the Consumer Cyclical — specifically Leisure — and is headquartered in United States. Below is a structured read of the investment case built directly from the latest fundamentals, valuation multiples, analyst positioning and smart-money flows. Each section translates raw numbers into the investment logic they imply, so you can decide whether the risk/reward fits your portfolio.

The Bull Case

Revenue is growing at a healthy 19.7% pace year-over-year, suggesting the business model continues to find new customers and pricing power. Earnings growth of 30.2% is outpacing revenue, a sign of operational leverage — fixed costs are being absorbed across a larger base. The combination of a 58.79% gross margin and 32.51% operating margin shows the business converts revenue into profit efficiently — a hallmark of competitive moat.

The Bear Case

Short interest sits at 10.94% of float — a meaningful contingent of professionals is positioned for the share to fall, which deserves attention even if their thesis may turn out to be wrong.

Valuation in Context

With a PEG ratio of 0.88, the price-to-earnings multiple is actually below the company's growth rate — classic value-meets-growth territory that Peter Lynch would have called a 'GARP' opportunity.

What to Watch Next

• The forward P/E of 14.15x is meaningfully below the trailing 18.42x — analysts expect earnings to step up; the next earnings release is the test.
• The price sits in the lower quartile of the 52-week range — value hunters often start scaling in around this zone if fundamentals hold.
• The analyst consensus price target implies 30.64% upside — if the next two quarters confirm the underlying thesis, target hikes typically follow.

Investment Thesis: Strengths & Weaknesses

Technical Snapshot

Price is below both the 50- and 200-day moving averages, with 50d below 200d — a bearish picture (death-cross alignment).

Risk Profile

The data points to market-like volatility, elevated short interest (10.94%).

Trading Data

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