NasdaqGS:TVTY

Stock Analysis Report

Executive Summary

Tivity Health, Inc. provides fitness and health improvement programs in the United States.

Snowflake

Fundamentals

Very undervalued with reasonable growth potential.


Similar Companies

Share Price & News

How has Tivity Health's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-1.3%

TVTY

3.9%

US Healthcare

0.07%

US Market


1 Year Return

-50.0%

TVTY

-6.7%

US Healthcare

8.9%

US Market

Return vs Industry: TVTY underperformed the US Healthcare industry which returned -6.7% over the past year.

Return vs Market: TVTY underperformed the US Market which returned 8.9% over the past year.


Shareholder returns

TVTYIndustryMarket
7 Day-1.3%3.9%0.07%
30 Day-8.3%3.5%-0.3%
90 Day6.4%-0.05%-1.6%
1 Year-50.0%-50.0%-5.1%-6.7%11.3%8.9%
3 Year-35.4%-35.4%37.0%30.6%46.3%36.8%
5 Year6.8%6.8%61.3%50.4%62.1%44.3%

Price Volatility Vs. Market

How volatile is Tivity Health's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TVTY ($16.33) is trading below our estimate of fair value ($70)

Significantly Below Fair Value: TVTY is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: TVTY is good value based on its PE Ratio (9.2x) compared to the Healthcare industry average (21x).

PE vs Market: TVTY is good value based on its PE Ratio (9.2x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: TVTY is good value based on its PEG Ratio (0.3x)


Price to Book Ratio

PB vs Industry: TVTY is good value based on its PB Ratio (1.5x) compared to the US Healthcare industry average (2.5x).


Next Steps

Future Growth

How is Tivity Health forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

29.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TVTY's forecast earnings growth (29.7% per year) is above the savings rate (2.7%).

Earnings vs Market: TVTY's earnings (29.7% per year) are forecast to grow faster than the US market (14.5% per year).

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

Revenue vs Market: TVTY's revenue (12.1% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: TVTY's revenue (12.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if TVTY's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Tivity Health performed over the past 5 years?

30.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: TVTY has become profitable over the past 5 years, growing earnings by 30.7% per year.

Accelerating Growth: TVTY's earnings growth over the past year (5%) is below its 5-year average (30.7% per year).

Earnings vs Industry: TVTY earnings growth over the past year (5%) underperformed the Healthcare industry 5.6%.


Return on Equity

High ROE: TVTY's Return on Equity (14.4%) is considered low.


Return on Assets

ROA vs Industry: TVTY has a higher Return on Assets than the Healthcare industry average last year.


Return on Capital Employed

ROCE Improving: TVTY's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Tivity Health's financial position?


Financial Position Analysis

Short Term Liabilities: TVTY's short term assets ($150.1M) do not cover its short term liabilities ($158.9M)

Long Term Liabilities: TVTY's short term assets (150.1M) do not cover its long term liabilities (1.3B)


Debt to Equity History and Analysis

Debt Level: TVTY's debt to equity ratio (202.4%) is considered high

Reducing Debt: TVTY's debt to equity ratio has increased from 85.1% to 202.4% over the past 5 years.

Debt Coverage: TVTY's debt is not well covered by operating cash flow (10.9%).

Interest Coverage: TVTY's interest payments on its debt are well covered by EBIT (5x coverage).


Balance Sheet

Inventory Level: TVTY has a low level of unsold assets or inventory.

Debt Coverage by Assets: TVTY's debt is not covered by short term assets (assets are 0.1x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.6%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

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

2.3yrs

Average management tenure


CEO

Donato Tramuto (62yo)

3.9yrs

Tenure

US$1,146,622

Compensation

Mr. Donato J. Tramuto has been the Chief Executive Officer at Tivity Health, Inc. since November 1, 2015. Mr. Tramuto served as the President of Tivity Health, Inc. since November 1, 2015 until December 26 ...


CEO Compensation Analysis

Compensation vs. Market: Donato's total compensation ($USD1.15M) is about average for companies of similar size in the US market ($USD2.67M).

Compensation vs Earnings: Donato's compensation has been consistent with company performance over the past year.


Management Age and Tenure

2.3yrs

Average Tenure

53yo

Average Age

Experienced Management: TVTY's management team is considered experienced (2.3 years average tenure).


Board Age and Tenure

4.2yrs

Average Tenure

57.5yo

Average Age

Experienced Board: TVTY's board of directors are considered experienced (4.2 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$3,897,66907 Aug 19
Altaris Capital Partners, LLC
EntityCompany
Shares249,308
Max PriceUS$16.52
BuyUS$10,761,45701 Jul 19
Altaris Capital Partners, LLC
EntityCompany
Shares604,739
Max PriceUS$18.76
BuyUS$63,932,88824 May 19
Altaris Capital Partners, LLC
EntityCompany
Shares3,216,793
Max PriceUS$22.51
BuyUS$100,22522 Mar 19
Paul Keckley
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares5,780
Max PriceUS$17.34
BuyUS$47,96622 Mar 19
Bradley Karro
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,900
Max PriceUS$16.54
BuyUS$99,93222 Mar 19
Robert Greczyn
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares5,810
Max PriceUS$17.20
BuyUS$251,46122 Mar 19
Benjamin Kirshner
EntityIndividual
Shares14,569
Max PriceUS$17.26
BuyUS$34,50022 Mar 19
Sara Finley
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceUS$17.25
BuyUS$72,09022 Mar 19
Lee Shapiro
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares4,050
Max PriceUS$17.80

Ownership Breakdown


Management Team

  • Dawn Zier (54yo)

    President

    • Tenure: 0.6yrs
  • Steve Janicak (59yo)

    President of Fitness Division & Division President of Healthcare

    • Tenure: 0.8yrs
    • Compensation: US$515.50k
  • Bonnie Schirato

    Vice President of People & Culture

    • Tenure: 0yrs
  • Adam Holland (40yo)

    Chief Financial Officer

    • Tenure: 2.3yrs
    • Compensation: US$805.18k
  • Donato Tramuto (62yo)

    CEO & Director

    • Tenure: 3.9yrs
    • Compensation: US$1.15m
  • Ryan Wagers (41yo)

    Chief Accounting Officer & Controller

    • Tenure: 1yrs
    • Compensation: US$105.11k
  • Mary Flipse (52yo)

    Chief Legal & Administrative Officer

    • Tenure: 2.3yrs
    • Compensation: US$469.55k
  • Paul Edmisten

    Chief Information Officer

    • Tenure: 3.1yrs
  • Janet Calhoun

    Chief Experience Officer

    • Tenure: 2.9yrs
  • Tommy Lewis

    Chief Transformation Officer

    • Tenure: 0yrs

Board Members

  • Brad Karro (57yo)

    Independent Director

    • Tenure: 5.3yrs
    • Compensation: US$215.01k
  • Sara Finley (58yo)

    Independent Director

    • Tenure: 1.4yrs
    • Compensation: US$165.42k
  • Paul Keckley (69yo)

    Independent Director

    • Tenure: 5.3yrs
    • Compensation: US$210.84k
  • Lee Shapiro (63yo)

    Independent Director

    • Tenure: 4.4yrs
    • Compensation: US$225.01k
  • Dawn Zier (54yo)

    President

    • Tenure: 0.6yrs
  • Kevin Wills (53yo)

    Independent Chairman

    • Tenure: 3.9yrs
    • Compensation: US$310.01k
  • Pete Hudson (53yo)

    Independent Director

    • Tenure: 3.4yrs
    • Compensation: US$211.45k
  • Bob Greczyn (67yo)

    Independent Director

    • Tenure: 4.4yrs
    • Compensation: US$215.01k
  • Beth Jacob (57yo)

    Independent Director

    • Tenure: 1.4yrs
    • Compensation: US$171.37k
  • Donato Tramuto (62yo)

    CEO & Director

    • Tenure: 3.9yrs
    • Compensation: US$1.15m

Company Information

Tivity Health, Inc.'s company bio, 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$781.115m
  • Shares outstanding: 47.83m
  • Website: https://www.tivityhealth.com

Number of Employees


Location

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

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TVTYNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDAug 1991
AFNBST (Boerse-Stuttgart)YesCommon StockDEEURAug 1991

Biography

Tivity Health, Inc. provides fitness and health improvement programs in the United States. The company offers SilverSneakers senior fitness program to the members of Medicare advantage, Medicare supplement ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 00:00
End of Day Share Price2019/10/22 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.