Life Time Group Holdings (LTH) just paired an earnings beat with a small tweak to its 2026 outlook, lifting full year revenue guidance while trimming the top end of its net income range.
Recent trading suggests investors are leaning into Life Time Group Holdings’ story again, with a 1-day share price return of 5.12% and a year to date share price gain of 69.91% feeding into a 1-year total shareholder return of 84.42%. Momentum looks firmly positive off the back of the earnings beat and refined 2026 guidance.
Capitalize on the momentum around Life Time Group Holdings by scanning a curated 18 high quality undiscovered gems that share strong fundamentals but are still flying under most investors’ radar.The question now is whether Life Time Group Holdings’ sharp re rating has already captured most of the story, or if today’s price still leaves room on the table once valuation is put under the microscope.
Most Popular Narrative: 19% Undervalued
On the most followed view, Life Time Group Holdings is worth $56.07 per share, above the latest close at $45.35. This puts the recent rally against a still supportive valuation line.
The expanding pipeline of new and larger Life Time Group Holdings club openings in affluent and high-density markets is now supported by guidance for 14 openings in 2026 and 12 to 14 in 2027, with management describing several recent locations reaching contribution-margin positive within a few months and reporting cash-on-cash returns above 30%, which points to further membership and revenue growth as the footprint increases.
See why 10 investors see Life Time Group Holdings as 19% undervalued.
Result: Fair Value of $56.07 (UNDERVALUED)
Still, the Life Time Group Holdings narrative leans on heavy 2026 capital spending and higher pricing, so any slip in execution or member appetite could quickly challenge it.
Find out about the key risks to this Life Time Group Holdings narrative.
Another View: Life Time Group Holdings Through Earnings Multiples
The first take presents Life Time Group Holdings as undervalued at a fair value of $56.07 per share. A second lens, however, offers a different perspective. On a P/E of 24.4x versus the US Hospitality average of 20.2x and a fair ratio of 20.2x, the stock appears expensive rather than cheap.
This gap indicates that the market already asks you to pay more than both peers and the fair ratio suggest. That raises the bar for future results to justify today’s price. The key question is whether you think Life Time Group Holdings has earned that premium, or if this is where valuation risk starts to emerge.
See what the numbers say about this price — find out in our valuation breakdown.
Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Life Time Group Holdings for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 30 high quality undervalued stocks. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.
Next Steps
Mixed signals on Life Time Group Holdings so far. If you want to move ahead of the crowd, start by weighing both sides of the story through 3 key rewards and 2 important warning signs.
Looking for more investment ideas beyond Life Time Group Holdings?
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