Planet Fitness (NYSE:PLNT – Get Free Report) and ONE Group Hospitality (NASDAQ:STKS – Get Free Report) are both consumer discretionary companies, but which is the better business? We will contrast the two companies based on the strength of their risk, analyst recommendations, institutional ownership, valuation, profitability, earnings and dividends.
Institutional and Insider Ownership
95.5% of Planet Fitness shares are held by institutional investors. Comparatively, 29.1% of ONE Group Hospitality shares are held by institutional investors. 0.9% of Planet Fitness shares are held by insiders. Comparatively, 25.7% of ONE Group Hospitality shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.
Profitability
This table compares Planet Fitness and ONE Group Hospitality’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Planet Fitness | 16.88% | -59.46% | 8.60% |
| ONE Group Hospitality | -10.25% | -10.49% | -0.62% |
Earnings & Valuation
This table compares Planet Fitness and ONE Group Hospitality”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Planet Fitness | $1.32 billion | 2.83 | $219.10 million | $2.95 | 16.79 |
| ONE Group Hospitality | $805.72 million | 0.06 | -$92.24 million | ($3.80) | -0.37 |
Planet Fitness has higher revenue and earnings than ONE Group Hospitality. ONE Group Hospitality is trading at a lower price-to-earnings ratio than Planet Fitness, indicating that it is currently the more affordable of the two stocks.
Risk and Volatility
Planet Fitness has a beta of 1.05, indicating that its share price is 5% more volatile than the S&P 500. Comparatively, ONE Group Hospitality has a beta of 1.35, indicating that its share price is 35% more volatile than the S&P 500.
Analyst Ratings
This is a summary of current recommendations for Planet Fitness and ONE Group Hospitality, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Planet Fitness | 1 | 9 | 11 | 1 | 2.55 |
| ONE Group Hospitality | 1 | 2 | 1 | 0 | 2.00 |
Planet Fitness currently has a consensus target price of $69.34, suggesting a potential upside of 39.97%. ONE Group Hospitality has a consensus target price of $4.00, suggesting a potential upside of 183.69%. Given ONE Group Hospitality’s higher probable upside, analysts plainly believe ONE Group Hospitality is more favorable than Planet Fitness.
Summary
Planet Fitness beats ONE Group Hospitality on 10 of the 14 factors compared between the two stocks.
About Planet Fitness
Planet Fitness, Inc., together with its subsidiaries, franchises and operates fitness centers under the Planet Fitness brand. The company operates through three segments: Franchise, Corporate-Owned Stores, and Equipment. The company is involved in franchising business in the United States, Puerto Rico, Canada, Panama, Mexico, and Australia. It engages in the sale of fitness equipment to franchisee-owned stores in the United States, Canada, and Mexico. In addition, the company operates corporate-owned stores in the United States and Canada. Planet Fitness, Inc. was founded in 1992 and is headquartered in Hampton, New Hampshire.
About ONE Group Hospitality
The ONE Group Hospitality, Inc., a restaurant company, develops, owns, operates, manages, and licenses restaurants and lounges worldwide. It operates through STK, Kona Grill, and ONE Hospitality segments. The company also provides turn-key food and beverage services for hospitality venues, including hotels, casinos, and other locations. Its hospitality food and beverage solutions include developing, managing, and operating restaurants, bars, rooftops, pools, banqueting, catering, private dining rooms, room service, and mini bars; and offers hospitality advisory and consulting services. The company operates restaurants primarily under the STK and Kona Grill brands. The ONE Group Hospitality, Inc. was founded in 2004 and is based in Denver, Colorado.
Receive News & Ratings for Planet Fitness Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Planet Fitness and related companies with MarketBeat.com's FREE daily email newsletter.
