Growth For The Quarter Ended 2020-12-31
Tivity Health Inc does not report a large amount of sales growth. It is not good. With that, market participants will appreciate TVTY’s gross profit margin of 42%. Last year, the company showed sales of $437. 714 million.
TVTY does not report huge EBITDA growth. In spite of that, the company’s EBITDA ratio is equal to 30%. With this in mind, either you buy shares or not, TVTY is a company to be followed carefully.
Balance Sheet Statement As Of 2020-12-31
With an A/L ratio of more than 1x, TVTY’s balance sheet looks stable. In Q4, the total amount of assets was equal to $578 million, with total liabilities of $575 million. TVTY shows $100 million in cash. I feel that the company is cash rich. I feel that money managers will most likely appreciate it.
I feel that Tivity Health Inc shows a large amount of goodwill. It is equal to $334 million. It is difficult to know the real value of intangibles and goodwill. Summarising, there is a potential goodwill impairment risk. Tivity Health Inc could review and impair intangible assets, which will most likely lead to a decline in the share price. The balance sheet shows deferred revenue of $4 million, which I like. Deferred revenue represents a prepayment by TVTY’s clients that have yet to be delivered. In short, Tivity Health Inc receives money in advance of it being earned. In addition, Tivity Health Inc has positive working capital, which investors will like. It means that TVTY can cover its short-term liabilities when they come due.
TVTY’s short term debt is less significant than the company’s cash. I feel that Tivity Health Inc may not have to worry about any liquidity risk. TVTY trades at 118x EBITDA, which may not seem cheap. In spite of that, with the company’s EBITDA margin of 30% the EV/EBITDA ratio makes sense. null
Quarterly Figures For The Quarter Ended 2020-12-31
The gross profit margin was equal to 54%. Besides, TVTY is profitable, which is helpful. Tivity Health Inc released positive quarterly EBITDA of $11. 991 million. I think that the company’s performance is good. With this in mind, either you buy shares or not, TVTY is a company to be followed carefully.
I assume sales of $437 million. So, TVTY trades at 3. 2327044599898564x forward sales. In my view, it can be justified due to the fact that Tivity Health Inc has decent margins. Institutional investors State of Alaska, Department of Revenue, Pacer Advisors, Inc. , and Carroll Financial Associates, Inc. are Tivity Health Inc investors. The company shows a beta of 2. 4314. It is more very significant than 1, which means that the stock price can show vast volatility. TVTY’s stock price volatility is larger than that of the market. All in all, if you are not a volatility expert don’t trade Tivity Health Inc.
The following TVTY’s insiders acquired or sold equity recently.TVTY’s traders will most likely study this information:
+In 2021-04-09, BILBAO JOSEPH RAYMOND sold equity of TVTY.
+In 2021-04-09, LEWIS THOMAS E sold stock of TVTY.
+In 2021-04-09, officer: CFO Holland Adam C sold equity of TVTY.
About Tivity Health Inc
Tivity Health, Inc. provides fitness, nutrition, and social connection solutions in the United States. It operates through two segments, Healthcare and Nutrition.