PDS vs Planet Fitness Which Is More Reliable?

PDS and Planet Fitness are two companies in the fitness industry with stocks that have gained significant attention from investors. PDS, a fitness equipment provider, has seen a surge in demand for at-home workout products during the COVID-19 pandemic. On the other hand, Planet Fitness, a popular gym chain, has been impacted by restrictions on indoor fitness establishments. Investors are closely monitoring the performance of both stocks as they navigate through uncertain market conditions and changing consumer preferences.

PDS or Planet Fitness?

When comparing PDS 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 PDS 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. PDS has a dividend yield of 0.89%, while Planet Fitness has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. PDS 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 PDS P/E ratio at 47.17 and Planet Fitness's P/E ratio at 50.23. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. PDS P/B ratio is 4.49 while Planet Fitness's P/B ratio is -30.14.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, PDS has seen a 5-year revenue growth of 0.59%, while Planet Fitness's is 0.92%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with PDS's ROE at 11.73% and Planet Fitness's ROE at -80.47%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₹510.50 for PDS and $94.62 for Planet Fitness. Over the past year, PDS's prices ranged from ₹394.70 to ₹666.00, with a yearly change of 68.74%. Planet Fitness's prices fluctuated between $54.35 and $98.59, with a yearly change of 81.40%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.