Planet Fitness Usage Trends Fuel JPMorgan Upgrade By Investing.com


© Reuters

By Sam Boughedda

Investing.com — Planet Fitness Inc (NYSE:) was upgraded from Neutral to Overweight by JPMorgan) analyst John Ivankoe Wednesday. 

The analyst, who has a $90 price target on Planet Fitness shares, said they are upgrading the low-cost gym company based on factors such as usage trends, store growth, low labor exposure, and “much better” valuation.

Based on a website scrape conducted by JPM, they see Planet Fitness’ total gym count at 2,318 as of May 10th, translating to 27 new unit openings quarter-to-date.

“The low-cost value proposition is the result of a ‘labor light’ store model with 12- 15 employees total per gym with

“F22 provides high visibility to the return of capital to shareholders,” added Ivankoe. 

Planet Fitness stock is up 4.23% Wednesday. 

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