Life Time Group Holdings, Inc. (LTH) Stock — Forensic Analysis, Red Flags & Rating | Stockonomy · Stockonomy
Forensic Analysis · Hospitality & Leisure · as of Sep 24, 2026
Life Time Group Holdings, Inc. (LTH)
A forensic read on Life Time Group Holdings, Inc. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
C · Mixed — selective
Forensic grade
Grey Zone
Financial health
2.1
Distress distance
Clean
Earnings quality
3
Forensic signals
21.9
P / E (ttm)
12.0%
ROE
$8.9B
Market cap
14.3%
Revenue growth
This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (red flags, auditor quality, say on pay, board independence, going concern, valuation). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.
Life Time Group Holdings, Inc. earns a C (Mixed — selective) forensic quality grade, and its balance-sheet distress test reads 2.1, placing it in the Grey zone. 3 forensic signals were flagged in its latest SEC filings, led by return on invested capital.
What the filings flag
5.1%
FY2025
Return on invested capital.Return on invested capital is 5.1% in the latest fiscal year and rising across FY2023–FY2025 from 3%. The capital base behind it grew +10% across FY2023–FY2025, from $6.5B to $7.2B, and the return did not fall doing it, so the dollars added over that window earned at least the 3% the older base was already earning.
+5.1%/yr
FY2023–FY2025
Share-count dilution.Diluted share count changed +11% over the last 2 years to FY2025 (+5.1%/yr). The count is growing: more stock was issued than repurchased over this window, so aggregate results grew faster than their per-share equivalents. That's ~5.1% shaved off per-share growth every year — total profit has to grow that much just to keep earnings-per-share flat, and a stake held since FY2023 has been diluted ~10%.
1.7% of rev
FY2025
Stock-based comp load.Stock-based compensation ran 1.7% of revenue in FY2025 — about $0.23 per diluted share. No cash left the business to pay it, which is why operating cash flow adds it back. Net of repurchases the diluted count still rose about 5.1% a year and that rate is not falling, so total profit has to grow by that much annually before any of it reaches a share. Stock compensation is one source of that issuance; acquisition consideration, equity raises, convertibles and other employee plans also net into the count, and these figures do not separate them.
Key fundamentals
Latest Revenue$3.00B
Revenue Growth YoY+14.3%
Revenue CAGR (2yr)+16.2%
Net Margin12.5%
Free Cash Flow-$21.0M
Return on Equity12.0%
Debt / Equity0.48x
The forensic grade and screens above are free — no account needed. Want the AI investment read on top — the 0–100 rating, thesis, bull-vs-bear, red flags and the 12-month scenario, written from Life Time Group Holdings, Inc.'s actual 10-K/10-Q/8-K filings?