United Parks & Resorts (NYSE:PRKS) vs. Life Time Group (NYSE:LTH) Critical Survey

United Parks & Resorts (NYSE:PRKS) and Life Time Group (NYSE:LTH) are both consumer discretionary companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, risk, dividends, institutional ownership, analyst recommendations, profitability and earnings.

Risk and Volatility

United Parks & Resorts has a beta of 1.18, meaning that its share price is 18% more volatile than the S&P 500. Comparatively, Life Time Group has a beta of 1.64, meaning that its share price is 64% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for United Parks & Resorts and Life Time Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
United Parks & Resorts	2	7	3	0	2.08
Life Time Group	0	2	6	1	2.89

United Parks & Resorts currently has a consensus price target of $47.00, suggesting a potential upside of 39.80%. Life Time Group has a consensus price target of $40.13, suggesting a potential upside of 48.69%. Given Life Time Group’s stronger consensus rating and higher probable upside, analysts plainly believe Life Time Group is more favorable than United Parks & Resorts.

Profitability

This table compares United Parks & Resorts and Life Time Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
United Parks & Resorts	10.13%	-41.63%	6.32%
Life Time Group	12.51%	10.20%	3.89%

Earnings & Valuation

This table compares United Parks & Resorts and Life Time Group”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
United Parks & Resorts	$1.66 billion	0.98	$168.35 million	$3.05	11.02
Life Time Group	$3.00 billion	2.00	$373.67 million	$1.66	16.26

Life Time Group has higher revenue and earnings than United Parks & Resorts. United Parks & Resorts is trading at a lower price-to-earnings ratio than Life Time Group, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

79.4% of Life Time Group shares are owned by institutional investors. 1.2% of United Parks & Resorts shares are owned by company insiders. Comparatively, 13.3% of Life Time Group shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Life Time Group beats United Parks & Resorts on 13 of the 15 factors compared between the two stocks.

About United Parks & Resorts

United Parks & Resorts, Inc. is a holding company, which engages in the ownership and operation of theme parks. Its portfolio includes SeaWorld, Busch Gardens, Aquatica, Discovery Cove, Sesame Place, and Sea Rescue. The company was founded in 1959 and is headquartered in Orlando, FL.

About Life Time Group

Life Time Group Holdings, Inc. provides health, fitness, and wellness experiences to a community of individual members in the United States and Canada. It primarily engages in designing, building, and operating of sports and athletic, professional fitness, family recreation, and spa centers in a resort-like environment, principally in suburban and urban locations of metropolitan areas. The company also offers fitness floors with equipment, locker rooms, group fitness studios, indoor and outdoor pools, bistros, indoor and outdoor tennis courts, pickleball courts, basketball courts, LifeSpa, LifeCafe, and childcare and Kids Academy learning spaces. In addition, its Life Time Digital provides live streaming fitness classes, remote goal-based personal training, nutrition and weight loss support, curated award-winning health, and fitness and wellness content. The company is also involved in media activities, conducting athletic events, and provision of related services. It operates various centers, including ground leases. The company was formerly known as LTF Holdings, Inc. and changed its name to Life Time Group Holdings, Inc. in June 21, 2021. Life Time Group Holdings, Inc. was founded in 1992 and is headquartered in Chanhassen, Minnesota.