Reviewing Xponential Fitness (XPOF) and The Competition

Xponential Fitness (NYSE:XPOF) is one of 382 publicly-traded companies in the “Hotels, Restaurants & Leisure” industry, but how does it compare to its peers? We will compare Xponential Fitness to related companies based on the strength of its dividends, institutional ownership, analyst recommendations, earnings, profitability, valuation and risk.

Insider & Institutional Ownership

58.6% of Xponential Fitness shares are held by institutional investors. Comparatively, 48.6% of shares of all “Hotels, Restaurants & Leisure” companies are held by institutional investors. 24.1% of Xponential Fitness shares are held by insiders. Comparatively, 22.3% of shares of all “Hotels, Restaurants & Leisure” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of current recommendations for Xponential Fitness and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Xponential Fitness	1	10	1	0	2.00
Xponential Fitness Competitors	3797	17230	25516	901	2.50

Xponential Fitness presently has a consensus target price of $6.50, suggesting a potential upside of 43.01%. As a group, “Hotels, Restaurants & Leisure” companies have a potential upside of 56.10%. Given Xponential Fitness’ peers stronger consensus rating and higher probable upside, analysts clearly believe Xponential Fitness has less favorable growth aspects than its peers.

Earnings and Valuation

This table compares Xponential Fitness and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Xponential Fitness	$314.88 million	-$33.79 million	-3.09
Xponential Fitness Competitors	$3.43 billion	$250.20 million	-160.35

Xponential Fitness’ peers have higher revenue and earnings than Xponential Fitness. Xponential Fitness is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Xponential Fitness and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Xponential Fitness	-13.64%	-3.40%	-0.66%
Xponential Fitness Competitors	2.41%	-40.04%	2.14%

Volatility and Risk

Xponential Fitness has a beta of 1.07, suggesting that its share price is 7% more volatile than the S&P 500. Comparatively, Xponential Fitness’ peers have a beta of 1.44, suggesting that their average share price is 44% more volatile than the S&P 500.

Summary

Xponential Fitness peers beat Xponential Fitness on 9 of the 13 factors compared.

About Xponential Fitness

Xponential Fitness, Inc., through its subsidiaries, operates as a boutique fitness franchisor in North America. It offers pilates, indoor cycling, barre, stretching, rowing, dancing, boxing, running, functional training, and yoga services under the Club Pilates, Pure Barre, CycleBar, StretchLab, Row House, YogaSix, Rumble, AKT, Stride, and BFT brands. Xponential Fitness, Inc. was founded in 2017 and is headquartered in Irvine, California.