TVTY

Tivity HealthNasdaqGS:TVTY Stock Report

Market Cap

US$1.1b

7D

-2.9%

1Y

54.2%

Updated

22 Sep, 2021

Data

Company Financials +
TVTY fundamental analysis
Snowflake Score
Valuation2/6
Future Growth5/6
Past Performance1/6
Financial Health2/6
Dividends0/6

TVTY Overview

Tivity Health, Inc. provides fitness and health products primarily for seniors and older adults in the United States.

Tivity Health Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Tivity Health
Historical stock prices
Current Share PriceUS$22.05
52 Week HighUS$13.23
52 Week LowUS$27.87
Beta2.46
1 Month Change-3.63%
3 Month Change-18.58%
1 Year Change54.20%
3 Year Change-31.84%
5 Year Change-14.73%
Change since IPO823.02%

Recent News & Updates

Sep 15

Reassessing Tivity Health After Shares' Huge Move Off Pandemic Low

Shares of Tivity Health have rebounded some 1000% off of their pandemic-induced lows of March 2020, owing to an expectation of its members returning to the gym en masse. The rapid about face on its recently acquired (and now disposed of) Nutrisystem subsidiary will allow the company to focus on its core competency. With its digital offerings speeded up by the pandemic, member participation currently at only half pre-pandemic levels, and insider buying, it's time for an update on Tivity. A full investment analysis is provided in the paragraphs below.

Shareholder Returns

TVTYUS HealthcareUS Market
7D-2.9%-0.04%-1.8%
1Y54.2%36.4%31.5%

Return vs Industry: TVTY exceeded the US Healthcare industry which returned 34.3% over the past year.

Return vs Market: TVTY exceeded the US Market which returned 33% over the past year.

Price Volatility

Is TVTY's price volatile compared to industry and market?
TVTY volatility
TVTY Beta2.46
Industry Beta0.87
Market Beta1

Stable Share Price: TVTY is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: TVTY's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1981350Richard Ashworthhttps://www.tivityhealth.com

Tivity Health, Inc. provides fitness and health products primarily for seniors and older adults in the United States. The company offers SilverSneakers to members of Medicare Advantage, Medicare Supplement, and group retiree plans; Prime Fitness, a fitness facility access program through commercial health plans, employers, and other sponsoring organizations; virtual fitness experiences, including live instructor-led classes; and WholeHealth living program, a continuum of services related to complementary, alternative, and physical medicine. It also provides Wisely Well brand meals designed to support individuals and caregivers who are seeking meal convenience, as well as those recovering after a hospitalization or living with chronic conditions.

Tivity Health Fundamentals Summary

How do Tivity Health's earnings and revenue compare to its market cap?
TVTY fundamental statistics
Market CapUS$1.09b
Earnings (TTM)US$60.11m
Revenue (TTM)US$424.26m

18.2x

P/E Ratio

2.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TVTY income statement (TTM)
RevenueUS$424.26m
Cost of RevenueUS$227.33m
Gross ProfitUS$196.92m
ExpensesUS$136.81m
EarningsUS$60.11m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.22
Gross Margin46.42%
Net Profit Margin14.17%
Debt/Equity Ratio1,186.8%

How did TVTY perform over the long term?

See historical performance and comparison

Valuation

Is Tivity Health undervalued compared to its fair value and its price relative to the market?

18.21x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: TVTY ($22.05) is trading above our estimate of fair value ($20.23)

Significantly Below Fair Value: TVTY is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: TVTY is good value based on its PE Ratio (18.2x) compared to the US Healthcare industry average (22.1x).

PE vs Market: TVTY is poor value based on its PE Ratio (18.2x) compared to the US market (17.5x).


Price to Earnings Growth Ratio

PEG Ratio: TVTY is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: TVTY is overvalued based on its PB Ratio (31.5x) compared to the US Healthcare industry average (3.3x).


Future Growth

How is Tivity Health forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

20.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TVTY's forecast earnings growth (20.4% per year) is above the savings rate (2%).

Earnings vs Market: TVTY's earnings (20.4% per year) are forecast to grow faster than the US market (14.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: TVTY's revenue (10.3% per year) is forecast to grow faster than the US market (9.8% per year).

High Growth Revenue: TVTY's revenue (10.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TVTY's Return on Equity is forecast to be very high in 3 years time (101.8%).


Past Performance

How has Tivity Health performed over the past 5 years?

-3.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TVTY has a large one-off loss of $26.6M impacting its June 30 2021 financial results.

Growing Profit Margin: TVTY's current net profit margins (14.2%) are lower than last year (15.1%).


Past Earnings Growth Analysis

Earnings Trend: TVTY's earnings have declined by 3.6% per year over the past 5 years.

Accelerating Growth: TVTY's earnings growth over the past year (24.1%) exceeds its 5-year average (-3.6% per year).

Earnings vs Industry: TVTY earnings growth over the past year (24.1%) underperformed the Healthcare industry 32.2%.


Return on Equity

High ROE: Whilst TVTY's Return on Equity (172.79%) is outstanding, this metric is skewed due to their high level of debt.


Financial Health

How is Tivity Health's financial position?


Financial Position Analysis

Short Term Liabilities: TVTY's short term assets ($108.9M) exceed its short term liabilities ($85.5M).

Long Term Liabilities: TVTY's short term assets ($108.9M) do not cover its long term liabilities ($403.5M).


Debt to Equity History and Analysis

Debt Level: TVTY's debt to equity ratio (1186.8%) is considered high.

Reducing Debt: TVTY's debt to equity ratio has increased from 233% to 1186.8% over the past 5 years.

Debt Coverage: TVTY's debt is not well covered by operating cash flow (18.2%).

Interest Coverage: TVTY's interest payments on its debt are well covered by EBIT (3.5x coverage).


Balance Sheet


Dividend

What is Tivity Health current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate TVTY's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate TVTY's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TVTY's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TVTY's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TVTY's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.4yrs

Average management tenure


CEO

Richard Ashworth (46 yo)

1.25yrs

Tenure

US$11,853,734

Compensation

Mr. Richard M. Ashworth serves as President, Chief Executive Officer and Director at Tivity Health, Inc. since June 1, 2020. He served as President of Walgreens at Walgreens Boots Alliance, Inc since Febru...


CEO Compensation Analysis

Compensation vs Market: Richard's total compensation ($USD11.85M) is above average for companies of similar size in the US market ($USD2.34M).

Compensation vs Earnings: Insufficient data to compare Richard's compensation with company performance.


Leadership Team

Experienced Management: TVTY's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Members

Experienced Board: TVTY's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: TVTY insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.2%.


Top Shareholders

Company Information

Tivity Health, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Tivity Health, Inc.
  • Ticker: TVTY
  • Exchange: NasdaqGS
  • Founded: 1981
  • Industry: Health Care Services
  • Sector: Healthcare
  • Market Cap: US$1.095b
  • Shares outstanding: 49.64m
  • Website: https://www.tivityhealth.com

Number of Employees


Location

  • Tivity Health, Inc.
  • 701 Cool Springs Boulevard
  • Franklin
  • Tennessee
  • 37067
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/22 00:09
End of Day Share Price2021/09/21 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.