Planet Fitness Sees Big Gains: Here’s Why

Planet Fitness, Inc., had huge stock growths in November (and for the third quarter!) In November, the Planet Fitness stock (PLNT) grew a shocking 12.5%, following a strong third quarter and some strong business news. The share grew by 55% over 2018. But what explains these strong gains? New stores, new rankings, and a booming new health and fitness market catalyzed by cultural changes around exercise. Forbes named it one of the best franchises in America in June, and the rankings haven’t stopped coming in–especially recently.

September and November saw some impressive milestones for the company. September’s edition of Newsweek saw Planet Fitness take the number one spot for customer service in fitness centers. In November, the stock hit a lifetime high (which coincided nearly perfectly with the opening of their 1000th location). By the end of the year, Planet Fitness management is guiding the revenue to increase at 33% year over year: a projected 572 million dollars. This is well ahead of their 26% revenue goal for the 2018 fiscal year.

On the less technical side of things, Planet Fitness has a lot to offer a potential member (or potential investor, too!) It’s low-cost, has a strong brand, and is consistently opening new locations. Gym memberships start at just $10 a month, with more features (like tanning, hydromassage, and saunas) available for a small upgrade. With these extra features, which many members splurge for, franchisees run them at a low cost with high returns. Planet Fitness is also large enough to see growth not only by expansion but by acquisition because of its status of a behemoth in the gym market.

Are you looking at buying stock or membership in Planet Fitness? Want more health and fitness news? Let us know by commenting down below!

log in

Become a part of our community!

reset password

Back to
log in