Life Time Group Holdings Inc. Common Stock (LTH)

FairStock Score: 61/100 — STEADY

Key Financials

Strengths

• Solid return on equity of 13.0% above cost of capital
• Established organization with 11,000 employees providing operational scale

Concerns

• Altman Z-Score of 0.9 places it in the financial distress zone—elevated bankruptcy risk

AI Analysis

Life Time Group Holdings Inc. Common Stock is a small-cap consumer cyclical company valued at $6.1 billion. The business generates $3.0 billion in annual revenue with a 4.1% net margin. From a quality standpoint, Life shows solid Piotroski F-Score of 6/9 and distressed Altman Z-Score of 0.9 warrants caution. On valuation, the stock is reasonably priced at 16.4x earnings, with trades above its Graham Number with a negative 19% margin. Growth dynamics show revenue growing at 12.3% and profit growth of 231.0%. Our composite FairStock Score of 61/100 reflects above-average fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.

Bull Case

Improving fundamentals and sector tailwinds could drive meaningful earnings growth, compressing the effective multiple for patient investors. Operational leverage in the business model means incremental revenue growth could disproportionately boost bottom-line profitability.

Bear Case

Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the consumer cyclical space. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer