Why is Planet Fitness, Inc. ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Poor long term growth as Operating profit has grown by an annual rate 22.49% of over the last 5 years
2
Risky - Negative Book Value
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of 9.10%, its profits have risen by 17.4% ; the PEG ratio of the company is 2.6
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Tour, Travel Related Services)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Planet Fitness, Inc. for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Planet Fitness, Inc.
9.99%
1.62
32.19%
S&P 500
13.22%
0.64
20.20%
Quality key factors
Factor
Value
Sales Growth (5y)
18.91%
EBIT Growth (5y)
22.49%
EBIT to Interest (avg)
2.36
Debt to EBITDA (avg)
5.93
Net Debt to Equity (avg)
-7.62
Sales to Capital Employed (avg)
0.58
Tax Ratio
27.55%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
16.08%
ROE (avg)
0
Valuation Key Factors 
Factor
Value
P/E Ratio
49
Industry P/E
Price to Book Value
-40.43
EV to EBIT
31.32
EV to EBITDA
21.28
EV to Capital Employed
7.26
EV to Sales
8.73
PEG Ratio
2.59
Dividend Yield
NA
ROCE (Latest)
23.18%
ROE (Latest)
Negative BV
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Movement
11What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 353.82 MM
RAW MATERIAL COST(Y)
Fallen by -6.18% (YoY
INVENTORY TURNOVER RATIO(HY)
Highest at 158.15 times
NET SALES(Q)
Highest at USD 340.88 MM
OPERATING PROFIT(Q)
Highest at USD 136.52 MM
PRE-TAX PROFIT(Q)
Highest at USD 79.54 MM
NET PROFIT(Q)
Highest at USD 54.99 MM
EPS(Q)
Highest at USD 0.69
-2What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 15.41 times
Here's what is working for Planet Fitness, Inc.
Operating Cash Flow
Highest at USD 353.82 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Net Sales
Highest at USD 340.88 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 136.52 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Pre-Tax Profit
Highest at USD 79.54 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 54.99 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 0.69
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Inventory Turnover Ratio
Highest at 158.15 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by -6.18% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for Planet Fitness, Inc.
Debtors Turnover Ratio
Lowest at 15.41 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






