In this article PLNT Follow your favorite stocks CREATE FREE ACCOUNT People work out at a Planet Fitness in Alexandria, Virginia, on Jan. 8, 2024. Leah Millis | Reuters Shares of Planet Fitness plunged more than 30% Thursday after the company reported a drag on sign-ups and trimmed its guidance. The stock was having its worst day ever Thursday, as of midday trading. Even though the fitness company...
In this article PLNT Follow your favorite stocks CREATE FREE ACCOUNT People work out at a Planet Fitness in Alexandria, Virginia, on Jan. 8, 2024. Leah Millis | Reuters Shares of Planet Fitness plunged more than 30% Thursday after the company reported a drag on sign-ups and trimmed its guidance. The stock was having its worst day ever Thursday, as of midday trading. Even though the fitness company saw 21.9% revenue growth in its first fiscal quarter and same club sales increased by 3.5%, CEO Colleen Keating said the company saw a "slower than expected start from a net member growth perspective." "As a result, we are sharpening our marketing to prioritize capturing demand and driving net member growth," Keating said in a statement. "Additionally, we are pausing the planned national Black Card price increase pending a broader pricing review." The first fiscal quarter is usually the company's peak sign-up period. Keating said "internal and external headwinds" dealt a blow to the company's performance. Planet Fitness cut its revenue growth projection to 7% from a previous estimate of 9%. It also now expects same club sales of just 1%, compared with previous expectations of 4% to 5%, and adjusted net income to decrease 2%, compared with a previous expected increase of between 4% and 5%. On a call with analysts Thursday, Keating said four factors affected the company's first-quarter performance: a lack of resonance from marketing, competition in some markets, bad weather conditions and macroeconomic pressures. "We are making immediate and near-term adjustments to broaden our reach and ensure our messaging is both visible and resonates with the fitness beginner and more casual gym-goer," Keating said on the call. Keating also reaffirmed the company's confidence in its strategy to return to long-term growth. She said Planet Fitness is focusing this year on driving member acquisition and reinforcing affordability. "Looking at data from Q4 of last year and Q1 of this year, we...
Every weekday, the CNBC Investing Club with Jim Cramer holds a "Morning Meeting" livestream at 10:20 a.m. ET. Here's a recap of Thursday's key moments. 1. Stocks were mixed Thursday as investors tried to handicap whether the U.S. and Iran were moving closer to an agreement to end the war , alongside a sharp rotation underneath the surface "It's been hardware, hardware, hardware," Jim Cramer said. ...
Every weekday, the CNBC Investing Club with Jim Cramer holds a "Morning Meeting" livestream at 10:20 a.m. ET. Here's a recap of Thursday's key moments. 1. Stocks were mixed Thursday as investors tried to handicap whether the U.S. and Iran were moving closer to an agreement to end the war , alongside a sharp rotation underneath the surface "It's been hardware, hardware, hardware," Jim Cramer said. "Suddenly today, it's reversing." Software stocks gained following a strong batch of earnings. Red-hot chip designer Arm Holdings was part of the hardware contingent under pressure. The Club stock saw a post-earnings drop of more than 8% as investors focused on the company's challenges to secure enough supply for its new in-house CPUs to raise its official revenue forecast. 2. Software stocks popped , with cybersecurity names among the biggest winners. Strong results from firewall powerhouse Fortinet lifted the broader group, including Club names CrowdStrike and Palo Alto Networks . Jim acknowledged lingering concerns that AI could eventually disrupt cyber vendors, but said the rebound shows investors are regaining confidence. We have favored CrowdStrike over Palo Alto, though we own both. Jim and Jeff Marks, director of portfolio analysis for the Club, admitted it's "tempting" to take profits in Palo Alto after the stock went back into the green for the year. Still, the pair noted that improving cybersecurity sentiment and Palo Alto's upcoming earnings could create room for further upside. 3. Jim also highlighted the partnership between Club stocks Nvidia and Corning as a potentially "seismic shift" for AI infrastructure. Corning on Wednesday announced plans to increase optical fiber connectivity manufacturing capacity tenfold. Corning shares were modestly lower Thursday, one day after jumping 12% on that Nvidia deal and positive Investor Day comments. Jim said the industry is increasingly moving away from copper and toward fiber inside data centers. "The copper linking is...
A study of analyst recommendations at the major brokerages shows that Procter & Gamble Company (Symbol: PG) is the #12 broker pick, on average, out of the 30 stocks making up the Dow Jones Industrial Average, according to ETF Channel. Procter & Gamble Company also comes
A study of analyst recommendations at the major brokerages shows that Procter & Gamble Company (Symbol: PG) is the #12 broker pick, on average, out of the 30 stocks making up the Dow Jones Industrial Average, according to ETF Channel. Procter & Gamble Company also comes