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Planet Fitness

NYSE:PLNT
Snowflake Description

Solid track record with reasonable growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
PLNT
NYSE
$7B
Imp Market Cap
  1. Home
  2. US
  3. Consumer Services
Company description

Planet Fitness, Inc., together with its subsidiaries, franchises and operates fitness centers under the Planet Fitness name. The last earnings update was 42 days ago. More info.


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PLNT Share Price and Events
7 Day Returns
2%
NYSE:PLNT
-0.2%
US Hospitality
0.1%
US Market
1 Year Returns
71.8%
NYSE:PLNT
-11.2%
US Hospitality
1.2%
US Market
PLNT Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Planet Fitness (PLNT) 2% 3.2% 18.6% 71.8% 374.4% -
US Hospitality -0.2% -0.6% 0.7% -11.2% 39.9% 19.2%
US Market 0.1% 0.6% 0.9% 1.2% 36.7% 37.9%
1 Year Return vs Industry and Market
  • PLNT outperformed the Hospitality industry which returned -11.2% over the past year.
  • PLNT outperformed the Market in United States of America which returned 1.2% over the past year.
Price Volatility
PLNT
Industry
5yr Volatility vs Market

PLNT Value

 Is Planet Fitness undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Planet Fitness to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Planet Fitness.

NYSE:PLNT Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 14 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.9%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:PLNT
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Hospitality Unlevered Beta Simply Wall St/ S&P Global 0.92
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.919 (1 + (1- 21%) (17.33%))
1.03
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.03
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.03 * 5.96%)
8.87%

Discounted Cash Flow Calculation for NYSE:PLNT using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Planet Fitness is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:PLNT DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.87%)
2019 165.10 Analyst x2 151.65
2020 185.95 Analyst x4 156.88
2021 202.89 Est @ 9.12% 157.24
2022 217.50 Est @ 7.2% 154.83
2023 230.24 Est @ 5.86% 150.55
2024 241.57 Est @ 4.92% 145.09
2025 251.87 Est @ 4.26% 138.95
2026 261.45 Est @ 3.8% 132.48
2027 270.55 Est @ 3.48% 125.93
2028 279.36 Est @ 3.26% 119.43
Present value of next 10 years cash flows $1,433.03
NYSE:PLNT DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $279.36 × (1 + 2.73%) ÷ (8.87% – 2.73%)
$4,674.95
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $4,674.95 ÷ (1 + 8.87%)10
$1,998.68
NYSE:PLNT Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $1,433.03 + $1,998.68
$3,431.70
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $3,431.70 / 92.54
$37.08
NYSE:PLNT Discount to Share Price
Calculation Result
Value per share (USD) From above. $37.08
Current discount Discount to share price of $80.22
= -1 x ($80.22 - $37.08) / $37.08
-116.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Planet Fitness is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Planet Fitness's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Planet Fitness's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:PLNT PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $1.11
NYSE:PLNT Share Price ** NYSE (2019-06-18) in USD $80.22
United States of America Hospitality Industry PE Ratio Median Figure of 74 Publicly-Listed Hospitality Companies 22.56x
United States of America Market PE Ratio Median Figure of 3,092 Publicly-Listed Companies 17.63x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Planet Fitness.

NYSE:PLNT PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:PLNT Share Price ÷ EPS (both in USD)

= 80.22 ÷ 1.11

72.48x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Planet Fitness is overvalued based on earnings compared to the US Hospitality industry average.
  • Planet Fitness is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Planet Fitness's expected growth come at a high price?
Raw Data
NYSE:PLNT PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 72.48x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 14 Analysts
22.9%per year
United States of America Hospitality Industry PEG Ratio Median Figure of 55 Publicly-Listed Hospitality Companies 1.95x
United States of America Market PEG Ratio Median Figure of 2,126 Publicly-Listed Companies 1.53x

*Line of best fit is calculated by linear regression .

NYSE:PLNT PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 72.48x ÷ 22.9%

3.16x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Planet Fitness is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Planet Fitness's assets?
Raw Data
NYSE:PLNT PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $-4.10
NYSE:PLNT Share Price * NYSE (2019-06-18) in USD $80.22
United States of America Hospitality Industry PB Ratio Median Figure of 112 Publicly-Listed Hospitality Companies 2.19x
United States of America Market PB Ratio Median Figure of 5,244 Publicly-Listed Companies 1.79x
NYSE:PLNT PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:PLNT Share Price ÷ Book Value per Share (both in USD)

= 80.22 ÷ -4.10

-19.58x

* Primary Listing of Planet Fitness.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Planet Fitness has negative assets, we can't compare the value of its assets to the US Hospitality industry average.
X
Value checks
We assess Planet Fitness's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Hospitality industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Hospitality industry average (and greater than 0)? (1 check)
  5. Planet Fitness has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

PLNT Future Performance

 How is Planet Fitness expected to perform in the next 1 to 3 years based on estimates from 14 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
22.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Planet Fitness expected to grow at an attractive rate?
  • Planet Fitness's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Planet Fitness's earnings growth is expected to exceed the United States of America market average.
  • Planet Fitness's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:PLNT Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:PLNT Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 14 Analysts 22.9%
NYSE:PLNT Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 14 Analysts 11%
United States of America Hospitality Industry Earnings Growth Rate Market Cap Weighted Average 16.7%
United States of America Hospitality Industry Revenue Growth Rate Market Cap Weighted Average 7.4%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.9%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:PLNT Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 14 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:PLNT Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 909 1
2021-12-31 806 268 180 3
2020-12-31 742 228 159 14
2019-12-31 662 194 125 14
NYSE:PLNT Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 557 194 96
2018-12-31 531 184 88
2018-09-30 500 182 60
2018-06-30 472 147 58
2018-03-31 450 149 44
2017-12-31 430 131 33
2017-09-30 412 126 47
2017-06-30 402 122 35
2017-03-31 386 124 27
2016-12-31 378 109 22
2016-09-30 368 101 13
2016-06-30 349 95 12

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Planet Fitness's earnings are expected to grow significantly at over 20% yearly.
  • Planet Fitness's revenue is expected to grow by 11% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:PLNT Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 14 Analyst Estimates (S&P Global) See Below

All data from Planet Fitness Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:PLNT Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31
2021-12-31 2.14 2.15 2.12 2.00
2020-12-31 1.81 1.97 1.65 5.00
2019-12-31 1.35 1.61 1.08 5.00
NYSE:PLNT Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 1.11
2018-12-31 1.01
2018-09-30 0.68
2018-06-30 0.66
2018-03-31 0.52
2017-12-31 0.42
2017-09-30 0.66
2017-06-30 0.58
2017-03-31 0.54
2016-12-31 0.50
2016-09-30 0.34
2016-06-30 0.32

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Planet Fitness will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.
X
Future performance checks
We assess Planet Fitness's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Planet Fitness has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

PLNT Past Performance

  How has Planet Fitness performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Planet Fitness's growth in the last year to its industry (Hospitality).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Planet Fitness has delivered over 20% year on year earnings growth in the past 5 years.
  • Planet Fitness's 1-year earnings growth exceeds its 5-year average (116.3% vs 40.2%)
  • Planet Fitness's earnings growth has exceeded the US Hospitality industry average in the past year (116.3% vs 1%).
Earnings and Revenue History
Planet Fitness's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Planet Fitness Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:PLNT Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 556.84 95.55 72.98
2018-12-31 530.70 88.02 72.45
2018-09-30 499.57 59.77 69.78
2018-06-30 471.79 57.65 66.61
2018-03-31 449.71 44.18 64.17
2017-12-31 429.94 33.15 60.37
2017-09-30 412.33 47.17 56.20
2017-06-30 401.84 35.25 54.37
2017-03-31 386.00 26.97 51.98
2016-12-31 378.24 21.50 50.01
2016-09-30 367.67 13.41 48.20
2016-06-30 349.48 11.61 53.31
2016-03-31 336.96 -0.95 53.28
2015-12-31 330.54 4.11 55.57
2015-09-30 320.71 15.41 55.67
2015-06-30 315.36 21.92 46.90
2015-03-31 299.11 39.18 60.69
2014-12-31 279.78 36.81 35.12
2013-12-31 211.01 25.44 23.12
2012-12-31 159.69 2.12 25.22

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Planet Fitness has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) due to its liabilities exceeding its assets.
  • Planet Fitness used its assets more efficiently than the US Hospitality industry average last year based on Return on Assets.
  • Planet Fitness has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Planet Fitness's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Hospitality industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Planet Fitness has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

PLNT Health

 How is Planet Fitness's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Planet Fitness's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Planet Fitness is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Planet Fitness's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Planet Fitness's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Planet Fitness has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Planet Fitness Company Filings, last reported 2 months ago.

NYSE:PLNT Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 -354.04 1,297.59 335.96
2018-12-31 -382.79 1,172.13 289.43
2018-09-30 -110.15 1,173.71 572.73
2018-06-30 -91.25 701.14 147.78
2018-03-31 -122.43 702.45 127.15
2017-12-31 -136.94 703.76 113.08
2017-09-30 -139.64 705.06 93.27
2017-06-30 -156.76 706.36 78.52
2017-03-31 -188.02 707.86 60.24
2016-12-31 -214.76 709.19 40.39
2016-09-30 28.66 482.17 65.95
2016-06-30 18.59 483.07 55.66
2016-03-31 7.26 483.98 38.27
2015-12-31 -1.08 484.88 31.43
2015-09-30 -14.20 503.63 28.46
2015-06-30 15.92 504.99 32.15
2015-03-31 12.43 506.38 27.53
2014-12-31 151.75 379.78 43.29
2013-12-31 321.92 184.46 31.27
2012-12-31
  • Planet Fitness has negative shareholder equity (liabilities exceed assets), this is a more serious situation compared with a high debt level.
  • Irrelevant to check if Planet Fitness's debt level has increased considering it has negative shareholder equity.
  • Debt is not well covered by operating cash flow (16.6%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 4x coverage).
X
Financial health checks
We assess Planet Fitness's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Planet Fitness has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

PLNT Dividends

 What is Planet Fitness's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Planet Fitness dividends. Estimated to be 0% next year.
If you bought $2,000 of Planet Fitness shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Planet Fitness's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Planet Fitness's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:PLNT Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 14 Analyst Estimates (S&P Global) See Below
United States of America Hospitality Industry Average Dividend Yield Market Cap Weighted Average of 47 Stocks 2.8%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2011 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:PLNT Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2022-12-31 0.00 1.00
2021-12-31 0.00 2.00
2020-12-31 0.00 3.00
2019-12-31 0.00 3.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Planet Fitness has not reported any payouts.
  • Unable to verify if Planet Fitness's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Planet Fitness's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Planet Fitness has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Planet Fitness's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Planet Fitness's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Planet Fitness afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Planet Fitness has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

PLNT Management

 What is the CEO of Planet Fitness's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Chris Rondeau
COMPENSATION $4,364,719
AGE 45
TENURE AS CEO 6.4 years
CEO Bio

Mr. Christopher J. Rondeau, also known as Chris, has been the Chief Executive Officer of Planet Fitness, Inc. since January 2013 and served as its Chief Operating Officer since 2003. Mr. Rondeau has been the Chief Executive Officer of PFIP, LLC since January 2013. He joined Planet Fitness in 1993 and has been a Partner in its Business since 2003. He has been a Director at Planet Fitness, Inc. since November 2012.

CEO Compensation
  • Chris's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Chris's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Planet Fitness management team in years:

2.5
Average Tenure
51
Average Age
  • The tenure for the Planet Fitness management team is about average.
Management Team

Chris Rondeau

TITLE
CEO & Director
COMPENSATION
$4M
AGE
45
TENURE
6.4 yrs

Dorvin Lively

TITLE
President & CFO
COMPENSATION
$2M
AGE
59
TENURE
2.2 yrs

Craig Miller

TITLE
Chief Digital & Information Officer
COMPENSATION
$801K
AGE
57
TENURE
1.8 yrs

Justin Vartanian

TITLE
General Counsel & Secretary
TENURE
1.5 yrs

Jessica Correa

TITLE
Senior Vice President of Marketing
TENURE
4.4 yrs

Ray Miolla

TITLE
Chief Development Officer
TENURE
1 yrs

Jim Esposito

TITLE
Senior Vice President of Corporate Club Operations
TENURE
3.4 yrs

Bill Bode

TITLE
Senior Vice President of Franchise Operations
TENURE
2.5 yrs

Brian O'Donnell

TITLE
VP & Corporate Controller
AGE
39
TENURE
3.2 yrs
Board of Directors Tenure

Average tenure and age of the Planet Fitness board of directors in years:

2.5
Average Tenure
57.5
Average Age
  • The average tenure for the Planet Fitness board of directors is less than 3 years, this suggests a new board.
Board of Directors

Stephen Spinelli

TITLE
Chairman of the Board
COMPENSATION
$207K
AGE
63
TENURE
2.1 yrs

Chris Rondeau

TITLE
CEO & Director
COMPENSATION
$4M
AGE
45
TENURE
6.6 yrs

David Berg

TITLE
Director
COMPENSATION
$149K
AGE
57
TENURE
3.8 yrs

Fran Rathke

TITLE
Director
COMPENSATION
$150K
AGE
58
TENURE
2.8 yrs

Craig Benson

TITLE
Director
COMPENSATION
$130K
AGE
62
TENURE
1.9 yrs

Cammie Dunaway

TITLE
Director
COMPENSATION
$130K
AGE
55
TENURE
1.7 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
06. Mar 19 Sell David Berg Individual 04. Mar 19 04. Mar 19 -6,291 $61.73 $-388,343
X
Management checks
We assess Planet Fitness's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Planet Fitness has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

PLNT News

Simply Wall St News

Should You Worry About Planet Fitness, Inc.'s (NYSE:PLNT) CEO Pay?

This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. … View our latest analysis for Planet Fitness How Does Chris Rondeau's Compensation Compare With Similar Sized Companies? … The graphic below shows how CEO compensation at Planet Fitness has changed from year to year.

Simply Wall St -

Why Planet Fitness, Inc.’s (NYSE:PLNT) Return On Capital Employed Is Impressive

Analysts use this formula to calculate return on capital employed: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Planet Fitness: 0.14 = US$199m ÷ (US$1.5b - US$134m) (Based on the trailing twelve months to March 2019.) Therefore, Planet Fitness has an ROCE of 14%. … Planet Fitness's Current Liabilities And Their Impact On Its ROCE Short term (or current) liabilities, are things like supplier invoices, overdrafts, or tax bills that need to be paid within 12 months. … With low current liabilities, Planet Fitness's decent ROCE looks that much more respectable.

Simply Wall St -

I Ran A Stock Scan For Earnings Growth And Planet Fitness (NYSE:PLNT) Passed With Ease

In the last three years Planet Fitness's earnings per share took off like a rocket; fast, and from a low base. … I like to take a look at earnings before interest and (EBIT) tax margins, as well as revenue growth, to get another take on the quality of the company's growth. … You can take a look at the company's revenue and earnings growth trend, in the chart below

Simply Wall St -

Introducing Planet Fitness (NYSE:PLNT), The Stock That Soared 355% In The Last Three Years

(NYSE:PLNT) share price, which skyrocketed 355% over three years. … One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price. … Planet Fitness was able to grow its EPS at 107% per year over three years, sending the share price higher.

Simply Wall St -

Did Planet Fitness, Inc. (NYSE:PLNT) Insiders Sell Shares?

We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. … As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.'. … That means that even when the share price was below the current price of US$68.72, an insider wanted to cash in some shares.

Simply Wall St -

How Do Analysts See Planet Fitness, Inc. (NYSE:PLNT) Performing In The Next Couple Of Years?

In December 2018, Planet Fitness, Inc. … (NYSE:PLNT) announced its most recent earnings update, whicha … showed

Simply Wall St -

What Should We Expect From Planet Fitness, Inc.'s (NYSE:PLNT) Earnings Over The Next Year?

(NYSE:PLNT) released its earnings announcement on 31 December 2018, … analyst consensus outlook appear cautiously optimistic, … the past 5-year average growth rate of 30%.

Simply Wall St -

Why Planet Fitness, Inc.’s (NYSE:PLNT) Return On Capital Employed Is Impressive

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … Understanding Return On Capital Employed (ROCE). … ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business.

Simply Wall St -

Is Planet Fitness Inc's (NYSE:PLNT) High P/E Ratio A Problem For Investors?

This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … We'll show how you can use Planet Fitness Inc's (NYSE:PLNT) P/E ratio to inform your assessment of the investment opportunity. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

What Should You Know About Planet Fitness Inc's (NYSE:PLNT) Capital Returns?

This share represents a portion of capital used by the company to operate the business, and it is important the company is able to use the capital base efficiently to create adequate cash flows for you as an investor. … To understand Planet Fitness’s capital returns we will look at a useful metric called return on capital employed. … Planet Fitness's Return On Capital Employed

Simply Wall St -

PLNT Company Info

Description

Planet Fitness, Inc., together with its subsidiaries, franchises and operates fitness centers under the Planet Fitness name. It operates through three segments: Franchise, Corporate-Owned Stores, and Equipment. The Franchise segment is involved in franchising business in the United States, Puerto Rico, Canada, the Dominican Republic, and Panama. The Corporate-Owned Stores segment operates corporate-owned stores in the United States and Canada. The Equipment segment engages in the sale of fitness equipment to franchisee-owned stores in the United States. As of June 30, 2018, the company had 1,608 stores in 50 states, the District of Columbia, Puerto Rico, Canada, the Dominican Republic, Panama, and Mexico. Planet Fitness, Inc. has a strategic collaboration with Kohl's Corporation to open Planet Fitness stores. The company was founded in 1992 and is headquartered in Hampton, New Hampshire.

Details
Name: Planet Fitness, Inc.
PLNT
Exchange: NYSE
Founded: 1992
$7,486,825,618
$6,734,892,401
92,544,198
Website: http://www.planetfitness.com
Address: Planet Fitness, Inc.
4 Liberty Lane West,
Hampton,
New Hampshire, 03842,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE PLNT Class A Common Stock New York Stock Exchange US USD 06. Aug 2015
DB 3PL Class A Common Stock Deutsche Boerse AG DE EUR 06. Aug 2015
LSE 0KJD Class A Common Stock London Stock Exchange GB USD 06. Aug 2015
Number of employees
Current staff
Staff numbers
1,302
Planet Fitness employees.
Industry
Leisure Facilities
Consumer Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/19 00:35
End of day share price update: 2019/06/18 00:00
Last estimates confirmation: 2019/06/17
Last earnings filing: 2019/05/08
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.