Insider Selling: TPG GP A LLC Unloads $64.77M Of Life Time Group Hldgs Stock
TPG GP A LLC, 10% Owner at Life Time Group Hldgs LTH, executed a substantial insider sell on November 13, according to an SEC filing.
What Happened: LLC’s decision to sell 2,678,525 shares of Life Time Group Hldgs was revealed in a Form 4 filing with the U.S. Securities and Exchange Commission on Wednesday. The total value of the sale is $64,766,734.
During Thursday’s morning session, Life Time Group Hldgs shares down by 0.0%, currently priced at $24.18.
About Life Time Group Hldgs
Life Time Group Holdings Inc is a lifestyle 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.
Understanding the Numbers: Life Time Group Hldgs’s Finances
Revenue Growth: Life Time Group Hldgs displayed positive results in 3 months. As of 30 September, 2024, the company achieved a solid revenue growth rate of approximately 18.47%. This indicates a notable increase in the company’s top-line earnings. When compared to others in the Consumer Discretionary sector, the company excelled with a growth rate higher than the average among peers.
Holistic Profitability Examination:
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Gross Margin: The company maintains a high gross margin of 46.46%, indicating strong cost management and profitability compared to its peers.
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Earnings per Share (EPS): Life Time Group Hldgs’s EPS is notably higher than the industry average. The company achieved a positive bottom-line trend with a current EPS of 0.2.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 1.61.
Valuation Analysis:
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Price to Earnings (P/E) Ratio: Life Time Group Hldgs’s P/E ratio of 35.56 is below the industry average, suggesting the stock may be undervalued.
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Price to Sales (P/S) Ratio: With a higher-than-average P/S ratio of 1.99, 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): The company’s EV/EBITDA ratio 15.04 is above the industry average, suggesting that the market values the company more highly for each unit of EBITDA. This could be attributed to factors such as strong growth prospects or superior operational efficiency.
Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.
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Delving Into the Significance of Insider Transactions
Insider transactions shouldn’t be used primarily to make an investing decision, however, they can be an important factor for an investor to consider.
In the context of legal matters, the term “insider” refers to any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities, as outlined by Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and significant hedge funds. Such insiders are obligated to report their transactions through a Form 4 filing, which must be completed within two business days of the transaction.
Pointing towards optimism, a company insider’s new purchase signals their positive anticipation for the stock to rise.
Despite insider sells not always signaling a bearish sentiment, they can be driven by various factors.
Transaction Codes To Focus On
For investors, a primary focus lies on transactions occurring in the open market, as indicated in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies 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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