Life Time Group (NYSE:LTH) Announces Quarterly Earnings Results

Life Time Group (NYSE:LTH) released its earnings results on Tuesday. The company reported $0.42 EPS for the quarter, beating the consensus estimate of $0.39 by $0.03, FiscalAI reports. Life Time Group had a net margin of 12.56% and a return on equity of 10.29%. The firm had revenue of $788.70 million for the quarter, compared to analyst estimates of $787.65 million. During the same period last year, the firm earned $0.39 EPS. The business’s quarterly revenue was up 11.7% compared to the same quarter last year.

Here are the key takeaways from Life Time Group’s conference call:

• Q1 results showed strong profitability with total revenue up 11.7% to $789M, Adjusted EBITDA of $227M (+18.3%) and a 160 bps margin improvement to 28.7%, prompting an updated full?year EBITDA margin midpoint of 28%.
• The company is actively improving membership mix by reducing qualified medical memberships (down ~15,000 YoY, 3.44% of dues in Q1 and targeted ~3% by year?end), which is driving higher average dues ($230, +10.5% YoY) and stronger revenue per membership.
• Growth and cash strategy: Life Time opened 5 of 14 planned 2026 clubs, Q1 capex rose to $260M (half for 2026 openings, half for future years), closed ~$200M of sale?leasebacks in April with a $400M full?year target, and expects to deliver positive free cash flow in 2026 and rising free cash flow thereafter.
• Ancillary revenues and product innovation are expanding—strong utilization of Dynamic Personal Training, rollouts of CTR, HYBRID XT, Dynamic Stretch, a Health & Wellness hub and MIORA medical services, plus L.AI.C features, offering potential upside but with execution and rollout risk.

Life Time Group Price Performance

Shares of Life Time Group stock traded down $1.49 during midday trading on Thursday, hitting $32.10. 5,465,315 shares of the company traded hands, compared to its average volume of 2,867,302. The stock has a market cap of $7.12 billion, a price-to-earnings ratio of 18.77, a PEG ratio of 1.24 and a beta of 1.50. The company has a debt-to-equity ratio of 0.48, a quick ratio of 0.52 and a current ratio of 0.63. The firm’s fifty day moving average price is $27.06 and its 200-day moving average price is $27.07. Life Time Group has a 12 month low of $24.14 and a 12 month high of $34.99.

Wall Street Analyst Weigh In

Several research firms have commented on LTH. Wells Fargo & Company raised their target price on shares of Life Time Group from $37.00 to $38.00 and gave the company an “overweight” rating in a report on Wednesday. Morgan Stanley raised their target price on shares of Life Time Group from $37.00 to $38.00 and gave the company an “overweight” rating in a report on Monday, February 23rd. 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. KeyCorp began coverage on shares of Life Time Group in a report on Thursday, March 12th. They issued an “overweight” rating and a $40.00 target price on the stock. Finally, Guggenheim reissued a “buy” rating and issued a $36.00 target price on shares of Life Time Group in a report on Friday, January 23rd. Two analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating and two have given a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Buy” and a consensus target price of $40.40.

Insider Activity at Life Time Group

In related news, CFO Erik Weaver sold 1,329 shares of Life Time Group stock in a transaction that occurred on Tuesday, March 3rd. The shares were sold at an average price of $25.73, for a total transaction of $34,195.17. Following the sale, the chief financial officer directly owned 136,166 shares of the company’s stock, valued at approximately $3,503,551.18. The trade was a 0.97% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Parham Javaheri sold 11,060 shares of Life Time Group stock in a transaction that occurred on Friday, March 13th. The shares were sold at an average price of $26.46, for a total transaction of $292,647.60. Following the sale, the executive vice president directly owned 315,175 shares in the company, valued at $8,339,530.50. This trade represents a 3.39% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders own 13.30% of the company’s stock.

Institutional Investors Weigh In On Life Time Group

Institutional investors have recently added to or reduced their stakes in the business. Xponance LLC grew its holdings in Life Time Group by 11.9% during the 4th quarter. Xponance LLC now owns 11,938 shares of the company’s stock worth $317,000 after acquiring an additional 1,272 shares during the last quarter. Kestra Advisory Services LLC grew its holdings in Life Time Group by 4.0% during the 4th quarter. Kestra Advisory Services LLC now owns 10,950 shares of the company’s stock worth $291,000 after acquiring an additional 420 shares during the last quarter. Cibc World Markets Corp bought a new stake in Life Time Group during the 4th quarter worth approximately $266,000. Caxton Associates LLP grew its holdings in Life Time Group by 12.9% during the 2nd quarter. Caxton Associates LLP now owns 8,268 shares of the company’s stock worth $251,000 after acquiring an additional 946 shares during the last quarter. Finally, Mackenzie Financial Corp grew its holdings in Life Time Group by 10.3% during the 3rd quarter. Mackenzie Financial Corp now owns 8,516 shares of the company’s stock worth $235,000 after acquiring an additional 798 shares during the last quarter. 79.40% of the stock is owned by institutional investors.

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.