Core Viewpoint - Life Time Group Holdings, Inc. (LTH) and Atour Lifestyle Holdings Limited Sponsored ADR (ATAT) are both considered by investors in the Leisure and Recreation Services sector, with LTH currently presenting a more attractive value proposition based on various valuation metrics [1][6]. Valuation Metrics - LTH has a forward P/E ratio of 17.26, while ATAT's forward P/E is 23.38, indicating that LTH is potentially undervalued compared to ATAT [5]. - The PEG ratio for LTH is 0.70, suggesting a favorable valuation when considering expected earnings growth, whereas ATAT has a PEG ratio of 1.02 [5]. - LTH's P/B ratio stands at 1.91, significantly lower than ATAT's P/B of 11.17, further supporting LTH's position as a better value option [6]. Investment Outlook - Both LTH and ATAT hold a Zacks Rank of 2 (Buy), indicating a positive earnings outlook due to favorable analyst estimate revisions [3]. - LTH has been assigned a Value grade of A, while ATAT has a Value grade of C, highlighting LTH's superior valuation metrics [6].
LTH or ATAT: Which Is the Better Value Stock Right Now?