Update shared on08 Aug 2025
Fair value Decreased 8.87%Despite improved regulatory clarity and expectations for stronger growth execution and market share gains, Xponential Fitness’s consensus analyst price target has been revised downward from $13.78 to $12.67.
Analyst Commentary
- Recent no-action decision from the SEC investigation removes a significant uncertainty overhang.
- Improved investor sentiment anticipated due to regulatory clarity.
- Company’s growth execution expected to drive valuation multiples closer to peer levels.
- Xponential Fitness remains positioned as a leading boutique fitness franchisor.
- Significant potential seen for additional market share gains.
What's in the News
- Mike Nuzzo appointed CEO, succeeding Mark King, who resigned.
- Impairment charges rose to $12.9 million in Q2 2025 from $12.1 million a year prior.
- Revenue guidance for 2025 lowered to $300–310 million, a 5% decrease at midpoint from previous estimates.
- Net new studio opening forecast reduced to 170–190, down 37% at midpoint.
- SEC concluded its investigation of Xponential Fitness with no action taken.
Valuation Changes
Summary of Valuation Changes for Xponential Fitness
- The Consensus Analyst Price Target has fallen from $13.78 to $12.67.
- The Future P/E for Xponential Fitness has significantly fallen from 11.80x to 7.93x.
- The Consensus Revenue Growth forecasts for Xponential Fitness has significantly fallen from 4.8% per annum to 4.2% per annum.
Disclaimer
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