William Blair analyst Sharon Zackfia has reiterated their bullish stance on PLNT stock, giving a Buy rating on November 12.
TipRanks Black Friday Sale
- Claim 60% off TipRanks Premium for the data-backed insights and research tools you need to invest with confidence.
- Subscribe to TipRanks' Smart Investor Picks and see our data in action through our high-performing model portfolio - now also 60% off
Sharon Zackfia has given her Buy rating due to a combination of factors highlighting Planet Fitness’s strong market position and growth potential. The company has showcased its ability to leverage its industry leadership, with increasing demand for its offerings and a favorable real estate environment. These factors support its ambitious three-year goals, which include a low-double-digit revenue growth rate and a mid-teens compound annual growth rate in both adjusted EBITDA and EPS.
Planet Fitness’s appeal across generations, particularly among Gen Z, is a significant growth driver. The brand has seen a substantial increase in Gen Z members, who now make up a larger portion of its membership base. This demographic trend, combined with an overall increase in member growth and engagement, positions Planet Fitness well for sustained expansion. Additionally, the improving real estate landscape, with more availability due to factors like lower interest rates and increased retail bankruptcies, further supports the company’s growth trajectory.
In another report released on November 12, Morgan Stanley also maintained a Buy rating on the stock with a $123.00 price target.