William Blair analyst Sharon Zackfia has reiterated their bullish stance on PLNT stock, giving a Buy rating on November 4.
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Sharon Zackfia’s rating is based on Planet Fitness’s impressive financial performance in the third quarter, which exceeded expectations in both revenue and earnings per share. The company achieved a 13% increase in revenue and a 24% growth in earnings per share, surpassing consensus estimates.
Despite a slight sequential decline in memberships due to the new click-to-cancel policy, memberships grew by 6% year-over-year. Additionally, the company saw a significant 28% rise in equipment sales, alongside growth in both franchised and company-owned revenue. The EBITDA margin also improved, indicating efficient cost management and strong operational performance.
According to TipRanks, Zackfia is a 4-star analyst with an average return of 5.3% and a 43.88% success rate. Zackfia covers the Consumer Cyclical sector, focusing on stocks such as Birkenstock Holding plc, CarMax, and Royal Caribbean.
In another report released on November 4, Jefferies also maintained a Buy rating on the stock with a $175.00 price target.