12 Best Leisure Stocks to Buy Right Now

8. Life Time Group Holdings, Inc. (NYSE:LTH)

Number of Hedge Fund Holders: 36

Life Time Group Holdings, Inc. (NYSE:LTH) is a lifestyle brand that provides fitness, health, and wellness experiences at its athletic country club destinations, designed as family recreation and spa centers and professional fitness centers in a resort-like environment. The company has a portfolio of over 170 athletic country clubs across Canada and the United States.

It reported an 18.7% growth in total revenue in fiscal Q4 2024 to $663.3 million. This growth was driven by an 18% increase in its membership dues and enrollment fees and a 19.4% increase in its in-center revenue. Its comparable center revenue of 13.5% was the largest of the year, attributed to membership dues and in-center revenue having the most significant growth of the year in fiscal Q4 2024. This trend was a direct result of the significant engagement Life Time Group Holdings, Inc. (NYSE:LTH) is seeing from its members. Center memberships grew 6.4% compared to last year, ending the quarter with more than 812,000 memberships.

White Brook Capital Partners stated the following regarding Life Time Group Holdings, Inc. (NYSE:LTH) in its Q4 2024 investor letter:

“Life Time Group Holdings, Inc. (NYSE:LTH) had a terrific 2024 as the Company became free cash flow positive and operated at a high level, opening new locations and achieving very healthy margins. Here in January, the Company preannounced fourth quarter 2024 results and introduced better-than-expected 2025 guidance. The stock continues to outperform. Interestingly, in this fourth quarter, the Company achieved its long-term leverage ratios ahead of schedule. Given the 25% EBITDA growth expected for 2025 and the capital lightness of its newer ventures, it’s likely there will be a stock buyback or a dividend announced early this year. Lifetime is no longer cheap, but it’s an almost perfect company that is well managed and has a solid future.”