Oppenheimer: LTM Represents Compelling Investment Opportunity

Life Time Fitness LTM represents one of the most compelling investment opportunities amongst smaller cap consumer stocks, in our view, Oppenheimer reports. “Several quarters ago, amidst broad-based macro deterioration, LTM put on hold its aggressive new unit expansion plans and refocused upon positioning the chain to weather a potentially lengthy economic downturn,” Oppenheimer writes. “This strategy paid off significantly for LTM. Trends improved steadily at the chain through 2010. LTM now enjoys the flexibility of a less debt-encumbered balance sheet and is armed with a better knowledge of how to effectively utilize advertising dollars and its in-center service offering to grow and retain memberships. We believe LTM is increasingly well positioned to soon restart a more aggressive new unit opening schedule.” Life Time Fitness closed Thursday at $41.51.