Parag Vora’s HG Vora Capital Management Initiates Stake In Life Time Fitness, Inc. (LTM)

Parag Vora, the manager of HG Vora Capital Management, thinks Life Time Fitness, Inc. (NYSE:LTM) is a good investment and has initiated a new position for his fund. According to a recent filing with the Securities and Exchange Commission, Vora has built a position that amasses 2.01 million shares, which account for approximately 5.1% of Life Time Fitness, Inc. (NYSE:LTM)’s common stock.

Parag Vora - HG Vora Capital

Richard Mcguire is also a big fan of Life Time Fitness, Inc. (NYSE:LTM), having initiated a position for his fund during the previous quarter. His fund, Marcato Capital Management, reportedly holds 3.11 million shares valued at roughly $152 million. Glenn J. Krevlin is not so optimistic, though, and has decreased his fund’s stake in the company by 23% during Q2. Glenhill Advisors has reported ownership of approximately 337,700 shares worth $16.4 million. Israel Englander has also chosen to reduce his fund’s exposure to Life Time Fitness, Inc. (NYSE:LTM), decreasing Millennium Management’s investment to 149,200 shares worth $7.27 million.

An operator of sports, recreation and spa outlets, Life Time Fitness, Inc. (NYSE:LTM) has a market cap of $1.93 billion and does not pay a dividend. Since the start of the year, the stock has been trending sideways, dancing around the $47 level. It is traded at a trailing Price-to-Earnings (P/E) ratio of 16.xx, significantly lower than the industry average of around 28.00.

For the three months ending June 30, 2014, Life Time Fitness, Inc. (NYSE:LTM) has reported revenues of $326 million and earnings of $0.76 per share. Analysts expect the third quarter of 2014 to bring revenues of $341 million and earnings per share of $0.86. The stock is mainly recommended as a Hold.

Parag Vora is still bullish on Pinnacle Entertainment, Inc (NYSE:PNK), having increased his fund’s holding of the stock by 10% during the second quarter. HG Vora Capital Management now holds 5,15 million shares valued at roughly $130 million. American Realty Capital Properties Inc (NASDAQ:ARCP) is another important piece in Vora’s jigsaw puzzle. According to its latest 13F filing, HG Vora Capital Management has increased its investment in the company by 74% to exactly 8 million shares worth in excess of $100 million.

Disclosure: none