Life Time Group (NYSE:LTH) Releases Quarterly Earnings Results, Beats Estimates By $0.10 EPS

Life Time Group (NYSE:LTH) posted its quarterly earnings results on Thursday. The company reported $0.51 EPS for the quarter, beating the consensus estimate of $0.41 by $0.10, FiscalAI reports. The company had revenue of $893.52 million for the quarter, compared to analyst estimates of $874.98 million. Life Time Group had a net margin of 13.07% and a return on equity of 10.56%. The firm’s revenue was up 14.1% on a year-over-year basis. During the same period in the prior year, the company earned $0.41 earnings per share.

Here are the key takeaways from Life Time Group’s conference call:

• Strong third-quarter performance saw revenue rise 14.2% to $893.5 million, comparable-center revenue increase 8.7%, and adjusted EBITDA grow 16.5% to $256.3 million, with margin expanding 60 basis points to 28.7%.
• Management raised full-year comparable-center revenue guidance to 8.5%-8.7% from 7.9%-8.3% and increased full-year revenue and adjusted EBITDA guidance, citing strength in dues, membership acquisition, and in-center businesses.
• Membership optimization is improving economics: non-Qualified Medical memberships grew 5.4% year over year while Qualified Medical memberships declined 19.6%, helping drive 13.7% dues-revenue growth and higher average monthly dues.
• Life Time remains on track to open 14 clubs in 2026 and expects 12-14 openings annually, supported by a strong development pipeline; management also highlighted continued growth in Dynamic Personal Training, LifeSpa, pickleball, and other in-center offerings.
• Capital expenditures rose 29.8% to $288.7 million as the company builds clubs for 2026 and beyond, while it expects roughly $135 million of additional fourth-quarter sale-leaseback proceeds; management reiterated its $400 million annual sale-leaseback target and 2030 free-cash-flow outlook.

Life Time Group Stock Performance

LTH stock traded down $0.21 during trading on Friday, reaching $45.13. 2,920,150 shares of the company’s stock were exchanged, compared to its average volume of 2,981,825. The company’s fifty day moving average price is $41.68 and its 200-day moving average price is $35.15. The company has a quick ratio of 0.56, a current ratio of 0.66 and a debt-to-equity ratio of 0.44. The firm has a market cap of $10.09 billion, a PE ratio of 24.39, a P/E/G ratio of 1.56 and a beta of 1.49. Life Time Group has a 1-year low of $24.14 and a 1-year high of $47.32.

Wall Street Analysts Forecast Growth

Several equities analysts have weighed in on LTH shares. Morgan Stanley lifted their target price on Life Time Group from $53.00 to $54.00 and gave the company an “overweight” rating in a research report on Tuesday. Guggenheim upped their price objective on Life Time Group from $50.00 to $53.00 and gave the stock a “buy” rating in a research report on Friday. The Goldman Sachs Group restated a “buy” rating and set a $56.00 price objective on shares of Life Time Group in a research report on Friday. Deutsche Bank Aktiengesellschaft set a $54.00 target price on shares of Life Time Group in a research note on Friday, July 31st. Finally, Jefferies Financial Group reiterated a “buy” rating on shares of Life Time Group in a research report on Wednesday, September 23rd. Fifteen research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $56.14.

Key Headlines Impacting Life Time Group

Here are the key news stories impacting Life Time Group this week:

• Positive Sentiment: Life Time reported third-quarter revenue of $893.5 million, up 14.2% year over year, while adjusted EBITDA increased 16.5% to $256.3 million. Adjusted diluted EPS rose 24.4% to $0.51, exceeding analyst expectations and marking the company’s sixth consecutive quarterly earnings beat. Life Time Reports Third Quarter 2026 Financial Results
• Positive Sentiment: Management raised its full-year 2026 earnings outlook, reinforcing the view that strong revenue growth, operating leverage and improved profitability are continuing beyond the latest quarter. Life Time Raises 2026 Earnings Guidance
• Positive Sentiment: Wells Fargo raised its price target for LTH from $51 to $53 and maintained an “overweight” rating, implying approximately 18% upside from the cited share price. The target increase adds analyst support after the earnings release. Wells Fargo Recommendations
• Neutral Sentiment: Revenue growth was described as double-digit despite low-single-digit membership growth. This suggests pricing, member spending and operating improvements are supporting results, while enrollment trends remain an area investors will monitor. Life Time Group Posts Double-Digit Revenue Increase

Insider Activity

In related news, EVP Ritadhwaja Singh sold 154,912 shares of the firm’s stock in a transaction that occurred on Friday, September 11th. The shares were sold at an average price of $42.00, for a total transaction of $6,506,304.00. Following the completion of the sale, the executive vice president directly owned 138,351 shares in the company, valued at approximately $5,810,742. This trade represents a 52.82% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director John Danhakl sold 2,879,154 shares of the firm’s stock in a transaction on Wednesday, August 26th. The shares were sold at an average price of $43.80, for a total transaction of $126,106,945.20. Following the transaction, the director owned 3,029,450 shares in the company, valued at $132,689,910. This represents a 48.73% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 5,943,402 shares of company stock worth $259,987,015 in the last quarter. Insiders own 13.30% of the company’s stock.

Life Time Group Company Profile

Life Time Group Holdings, Inc (NYSE: LTH) operates a network of luxury athletic country clubs in the United States and Canada. The company’s facilities combine fitness, sports, health, and wellness services in an integrated club environment designed for individuals and families.

Life Time clubs typically offer cardiovascular and strength-training equipment, group fitness classes, personal training, indoor and outdoor pools, tennis, pickleball, basketball, and other athletic programs. Many locations also provide childcare, spas, cafés, workspaces, recovery services, and specialized programs for children, older adults, and other member groups.