Aspen vs Planet Fitness Which Is a Smarter Choice?

Aspen and Planet Fitness are two companies in the fitness industry that cater to different demographics. Aspen is a luxury fitness club that targets high-end clientele with premium services and amenities, while Planet Fitness is a budget-friendly gym chain that focuses on making fitness accessible to the masses. Both companies have experienced growth in recent years, but their stock performances differ due to their distinct business models and target markets. Investors may consider factors such as customer demographics, growth potential, and market trends when comparing Aspen and Planet Fitness stocks.

Aspen or Planet Fitness?

When comparing Aspen and Planet Fitness, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Aspen and Planet Fitness.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Aspen has a dividend yield of -%, while Planet Fitness has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Aspen reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Planet Fitness reports a 5-year dividend growth of 0.00% year and a payout ratio of 1.39%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Aspen P/E ratio at -0.72 and Planet Fitness's P/E ratio at 52.94. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Aspen P/B ratio is 0.15 while Planet Fitness's P/B ratio is -31.89.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Aspen has seen a 5-year revenue growth of 0.69%, while Planet Fitness's is 0.92%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Aspen's ROE at -18.66% and Planet Fitness's ROE at -80.57%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $0.13 for Aspen and $98.77 for Planet Fitness. Over the past year, Aspen's prices ranged from $0.00 to $0.28, with a yearly change of 139900.00%. Planet Fitness's prices fluctuated between $54.35 and $102.88, with a yearly change of 89.29%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.