PLNT - Planet Fitness is viewed favorably at Roth Capital after investor day reveals

Roth Capital Partners said it remained positive on Planet Fitness ( NYSE: PLNT ) following the company's Q3 earnings report and investor day presentations. Of note, Planet Fitness management raised guidance for FY22 across revenue, EBITDA and adjusted net income.

At the investor day, PLNT management was noted to have highlighted growth levers around member acquisition and retention, domestic and international unit growth, and capital allocation priorities.

Analyst George Kelly: "Management spoke extensively about the opportunity for domestic and international unit growth. The 4,000 domestic units outlined at IPO is likely understated as management finds more opportunity to saturate markets. International will become more of a near-term focal point as management expects to add 3-4 countries in the coming year. Go-to-market strategy remains undecided, but management is likely to stay away from the MFA structures we see in other international franchise models."

Kelly and team think PLNT remains well positioned in fitness and is observed to be operating a truly high-quality franchise system. Roth kept a Buy rating on PLNT and 12-month price target of $85.

Shares of Planet Fitness were down 0.53% in premarket trading on Wednesday after racking up a 6.48% gain on Tuesday when the gym operator's strategic growth plans were well received.

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