Life Time Fitness Inc (NYSE:LTM)

CAPS Rating: 2 out of 5

The Company operates distinctive and large sports and athletic, professional fitness, family recreation, resort and spa centers under the LIFE TIME FITNESS brand.

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Player Avatar SteamedCrab (97.34) Submitted: 3/3/2010 1:31:22 PM : Outperform Start Price: $26.53 LTM Score: +9.58

Quite unlike any other gym or healthclub I have ever been to. Sure, they have a big debt load, but I believe management will address this in the next five years.

Yes, it's more expensive then a regular gym, but check out the family memberships to lower the per person monthly rate. Look beyond the prices and check out the immense crowds at various locations. This isn't an LA Fitness or Gold's Gym where you dread going for an hour and leave. This isn't a Balley's where they rely upon tricking customers into ridiculous contracts for short-term revenue.

This is a high-quality brand that will continue to attract new customers and steal customers from other lower quality gyms.

Don't judge this brand unless you've been in a few locations.

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Member Avatar hot1053 (33.97) Submitted: 3/10/2010 12:48:44 AM
Recs: 0

I can judge. First, check the CEO's criminal complaints against him. Second, try to resolve a serious conflict with corporate. Third, look at how the "I'm better than you" shallow attitude many employees carry (that doesn't help retain members.) Fourth, way way too much debt. Fifth, LA Fitness is entering into their markets and are doing very well charging at times half of what LTM is charging for mostly similar services (people prefer new quality for less in this economy.) Sixth, history repeats itself. You could have gone too all the Lehman Bros., WAMU, and Bear branches to be impressed, listened to their speeches of how they will do this and how they will do that, but it was all smoke and mirrors. See if the company's actions speak louder than their words. From my personal club experience, their words are worthless.

Member Avatar SteamedCrab (97.34) Submitted: 4/9/2010 5:10:52 PM
Recs: 1

Thanks hot1053, I'll dig a little deeper and check out what you recommend. I appreciate the advice.

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