LIFE TIME GROUP HOLDINGS INC (LTH) Stock Fundamental Analysis
NYSE:LTH - New York Stock Exchange, Inc. - US53190C1027 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to LTH. LTH was compared to 132 industry peers in the Hotels, Restaurants & Leisure industry. While LTH is still in line with the averages on profitability rating, there are concerns on its financial health. LTH is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
LTH had positive earnings in the past year.
LTH had a positive operating cash flow in the past year.
In multiple years LTH reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: LTH reported negative operating cash flow in multiple years.
1.2 Ratios
The Return On Assets of LTH (2.84%) is comparable to the rest of the industry.
The Return On Equity of LTH (7.59%) is better than 65.93% of its industry peers.
LTH has a Return On Invested Capital of 4.49%. This is comparable to the rest of the industry: LTH outperforms 45.93% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for LTH is significantly below the industry average of 13.91%.
The 3 year average ROIC (2.87%) for LTH is below the current ROIC(4.49%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.84% | ||
| ROE | 7.59% | ||
| ROIC | 4.49% |
ROA(3y)1.08%
ROA(5y)-2.4%
ROE(3y)3.09%
ROE(5y)-8.55%
ROIC(3y)2.87%
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 7.60%, LTH is doing good in the industry, outperforming 62.22% of the companies in the same industry.
In the last couple of years the Profit Margin of LTH has grown nicely.
LTH's Operating Margin of 14.40% is fine compared to the rest of the industry. LTH outperforms 65.19% of its industry peers.
LTH's Operating Margin has improved in the last couple of years.
The Gross Margin of LTH (47.20%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of LTH has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.4% | ||
| PM (TTM) | 7.6% | ||
| GM | 47.2% |
OM growth 3YN/A
OM growth 5Y9.18%
PM growth 3YN/A
PM growth 5Y30.44%
GM growth 3Y9.24%
GM growth 5Y0.72%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so LTH is destroying value.
LTH has more shares outstanding than it did 1 year ago.
The number of shares outstanding for LTH has been increased compared to 5 years ago.
Compared to 1 year ago, LTH has an improved debt to assets ratio.
2.2 Solvency
LTH has an Altman-Z score of 1.29. This is a bad value and indicates that LTH is not financially healthy and even has some risk of bankruptcy.
LTH has a Altman-Z score (1.29) which is comparable to the rest of the industry.
LTH has a debt to FCF ratio of 9.60. This is a negative value and a sign of low solvency as LTH would need 9.60 years to pay back of all of its debts.
LTH has a Debt to FCF ratio of 9.60. This is in the better half of the industry: LTH outperforms 62.22% of its industry peers.
A Debt/Equity ratio of 0.55 indicates that LTH is somewhat dependend on debt financing.
LTH's Debt to Equity ratio of 0.55 is fine compared to the rest of the industry. LTH outperforms 68.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 9.6 | ||
| Altman-Z | 1.29 |
ROIC/WACC0.48
WACC9.39%
2.3 Liquidity
A Current Ratio of 0.43 indicates that LTH may have some problems paying its short term obligations.
LTH's Current ratio of 0.43 is on the low side compared to the rest of the industry. LTH is outperformed by 80.74% of its industry peers.
A Quick Ratio of 0.31 indicates that LTH may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.31, LTH is doing worse than 82.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.43 | ||
| Quick Ratio | 0.31 |
3. Growth
3.1 Past
LTH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 157.89%, which is quite impressive.
Measured over the past years, LTH shows a very strong growth in Earnings Per Share. The EPS has been growing by 35.83% on average per year.
The Revenue has grown by 18.58% in the past year. This is quite good.
The Revenue has been growing slightly by 6.64% on average over the past years.
EPS 1Y (TTM)157.89%
EPS 3YN/A
EPS 5Y35.83%
EPS Q2Q%183.33%
Revenue 1Y (TTM)18.58%
Revenue growth 3Y25.75%
Revenue growth 5Y6.64%
Sales Q2Q%18.32%
3.2 Future
Based on estimates for the next years, LTH will show a very strong growth in Earnings Per Share. The EPS will grow by 34.23% on average per year.
Based on estimates for the next years, LTH will show a quite strong growth in Revenue. The Revenue will grow by 11.63% on average per year.
EPS Next Y69.37%
EPS Next 2Y42.41%
EPS Next 3Y34.23%
EPS Next 5YN/A
Revenue Next Year13.74%
Revenue Next 2Y12.59%
Revenue Next 3Y11.63%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 30.31, LTH can be considered very expensive at the moment.
LTH's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of LTH to the average of the S&P500 Index (27.41), we can say LTH is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 19.27, the valuation of LTH can be described as rather expensive.
LTH's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. LTH is cheaper than 61.48% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.19, LTH is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.31 | ||
| Fwd PE | 19.27 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as LTH.
LTH's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.15 | ||
| EV/EBITDA | 11.86 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
LTH's earnings are expected to grow with 34.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.44
PEG (5Y)0.85
EPS Next 2Y42.41%
EPS Next 3Y34.23%
5. Dividend
5.1 Amount
No dividends for LTH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
29.7
+0.3 (+1.02%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners50.38%
Inst Owner Change0%
Ins Owners7.41%
Ins Owner Change-55.66%
Market Cap6.52B
Analysts80
Price Target38.8 (30.64%)
Short Float %5.61%
Short Ratio2.38
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)20.15%
Min EPS beat(2)10.37%
Max EPS beat(2)29.93%
EPS beat(4)4
Avg EPS beat(4)29.11%
Min EPS beat(4)2.42%
Max EPS beat(4)73.72%
EPS beat(8)5
Avg EPS beat(8)10.26%
EPS beat(12)9
Avg EPS beat(12)48.39%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)1.09%
Min Revenue beat(2)-0.16%
Max Revenue beat(2)2.35%
Revenue beat(4)3
Avg Revenue beat(4)1.79%
Min Revenue beat(4)-0.16%
Max Revenue beat(4)4.11%
Revenue beat(8)4
Avg Revenue beat(8)0.71%
Revenue beat(12)4
Avg Revenue beat(12)0.16%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)5.89%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.66%
EPS NY rev (1m)0.21%
EPS NY rev (3m)2.03%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.43%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)0.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.31 | ||
| Fwd PE | 19.27 | ||
| P/S | 2.39 | ||
| P/FCF | 41.15 | ||
| P/OCF | 9.75 | ||
| P/B | 2.38 | ||
| P/tB | 4.91 | ||
| EV/EBITDA | 11.86 |
EPS(TTM)0.98
EY3.3%
EPS(NY)1.54
Fwd EY5.19%
FCF(TTM)0.72
FCFY2.43%
OCF(TTM)3.05
OCFY10.26%
SpS12.44
BVpS12.46
TBVpS6.05
PEG (NY)0.44
PEG (5Y)0.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.84% | ||
| ROE | 7.59% | ||
| ROCE | 5.79% | ||
| ROIC | 4.49% | ||
| ROICexc | 4.53% | ||
| ROICexgc | 5.72% | ||
| OM | 14.4% | ||
| PM (TTM) | 7.6% | ||
| GM | 47.2% | ||
| FCFM | 5.8% |
ROA(3y)1.08%
ROA(5y)-2.4%
ROE(3y)3.09%
ROE(5y)-8.55%
ROIC(3y)2.87%
ROIC(5y)N/A
ROICexc(3y)2.87%
ROICexc(5y)N/A
ROICexgc(3y)3.67%
ROICexgc(5y)N/A
ROCE(3y)3.7%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y12.21%
ROICexc growth 3YN/A
ROICexc growth 5Y13.14%
OM growth 3YN/A
OM growth 5Y9.18%
PM growth 3YN/A
PM growth 5Y30.44%
GM growth 3Y9.24%
GM growth 5Y0.72%
F-Score8
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 9.6 | ||
| Debt/EBITDA | 2.23 | ||
| Cap/Depr | 182.42% | ||
| Cap/Sales | 18.69% | ||
| Interest Coverage | 3.66 | ||
| Cash Conversion | 99.37% | ||
| Profit Quality | 76.33% | ||
| Current Ratio | 0.43 | ||
| Quick Ratio | 0.31 | ||
| Altman-Z | 1.29 |
F-Score8
WACC9.39%
ROIC/WACC0.48
Cap/Depr(3y)244.39%
Cap/Depr(5y)196.06%
Cap/Sales(3y)27.92%
Cap/Sales(5y)27.34%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)157.89%
EPS 3YN/A
EPS 5Y35.83%
EPS Q2Q%183.33%
EPS Next Y69.37%
EPS Next 2Y42.41%
EPS Next 3Y34.23%
EPS Next 5YN/A
Revenue 1Y (TTM)18.58%
Revenue growth 3Y25.75%
Revenue growth 5Y6.64%
Sales Q2Q%18.32%
Revenue Next Year13.74%
Revenue Next 2Y12.59%
Revenue Next 3Y11.63%
Revenue Next 5YN/A
EBIT growth 1Y71.04%
EBIT growth 3YN/A
EBIT growth 5Y16.43%
EBIT Next Year121.58%
EBIT Next 3Y40.06%
EBIT Next 5YN/A
FCF growth 1Y141.13%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y151.15%
OCF growth 3YN/A
OCF growth 5Y9.9%