A substantial insider sell was reported on June 10, by Erik Weaver, EVP & Chief Financial Officer at Life Time Group Hldgs LTH, based on the recent SEC filing.
What Happened: A Form 4 filing from the U.S. Securities and Exchange Commission on Tuesday showed that Weaver sold 18,000 shares of Life Time Group Hldgs. The total transaction amounted to $517,338.
As of Wednesday morning, Life Time Group Hldgs shares are down by 0.63%, currently priced at $27.61.
All You Need to Know About Life Time Group Hldgs
Life Time Group Holdings Inc is a lifestyle and leisure brand offering health, fitness, and wellness experiences to a community. It is engaged in designing, building, and operating distinctive and large, multi-use sports and athletic, professional fitness, family recreation, and spa centers in a resort-like environment, principally in residential locations of metropolitan areas in the United States and Canada.
Breaking Down Life Time Group Hldgs’s Financial Performance
Revenue Growth: Life Time Group Hldgs’s revenue growth over a period of 3 months has been noteworthy. As of 31 March, 2025, the company achieved a revenue growth rate of approximately 18.32%. This indicates a substantial increase in the company’s top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Consumer Discretionary sector.
Key Insights into Profitability Metrics:
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Gross Margin: With a low gross margin of 47.46%, the company exhibits below-average profitability, signaling potential struggles in cost efficiency compared to its industry peers.
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Earnings per Share (EPS): With an EPS below industry norms, Life Time Group Hldgs exhibits below-average bottom-line performance with a current EPS of 0.36.
Debt Management: Life Time Group Hldgs’s debt-to-equity ratio is below the industry average at 1.47, reflecting a lower dependency on debt financing and a more conservative financial approach.
Evaluating Valuation:
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Price to Earnings (P/E) Ratio: With a lower-than-average P/E ratio of 28.94, the stock indicates an attractive valuation, potentially presenting a buying opportunity.
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Price to Sales (P/S) Ratio: With a higher-than-average P/S ratio of 2.2, Life Time Group Hldgs’s stock is perceived as being overvalued in the market, particularly in relation to sales performance.
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EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Boasting an EV/EBITDA ratio of 14.94, Life Time Group Hldgs demonstrates a robust market valuation, outperforming industry benchmarks.
Market Capitalization Analysis: With a profound presence, the company’s market capitalization is above industry averages. This reflects substantial size and strong market recognition.
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Uncovering the Importance of Insider Activity
Considering insider transactions is valuable, but it’s crucial to evaluate them in conjunction with other investment factors.
Within the legal framework, an “insider” is defined as any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities as per Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are mandated to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.
The initiation of a new purchase by a company insider serves as a strong indication that they expect the stock to rise.
However, insider sells may not always signal a bearish view and can be influenced by various factors.
Navigating the World of Insider Transaction Codes
When it comes to transactions, investors tend to focus on those in the open market, detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S indicates a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.
Check Out The Full List Of Life Time Group Hldgs’s Insider Trades.
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This article was generated by Benzinga’s automated content engine and reviewed by an editor.
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