Planet Fitness Stock Plummets 33% After Guidance Cut Overshadows Strong Q1

Planet Fitness shares cratered 33% to a 52-week low of $37.03 on May 7, despite reporting better-than-expected Q1 earnings. The fitness chain posted EPS of $0.74 versus $0.63 estimates, with revenue climbing 22% YoY to $337.2 million.

Investors punished the stock after management slashed 2026 EPS guidance to $3.19, below consensus estimates. The company cited weak New Year membership growth and canceled planned price increases for its Black Card tier. William Blair downgraded the stock as multiple analysts reduced price targets.

While membership rolls reached 21.5 million, the abrupt guidance revision suggests Planet Fitness faces mounting challenges in maintaining its growth trajectory. The stock's dramatic plunge highlights how forward-looking metrics often outweigh historical performance in market valuations.