Torque Asset Management Increases Stake in Planet Fitness

What's the deal? Torque Asset Management disclosed in an SEC filing on May 15 that it acquired 49,500 shares of Planet Fitness, with an estimated transaction value of $4.35M. The new position added $3.68M to the firm's quarter-end portfolio value, reflecting both the purchase and price movements during the reporting period.

Why now? The bet comes at a turbulent moment for Planet Fitness. Shares have dropped 51.6% over the past year, including a 30% single-day plunge in May after the company's Q1 earnings report.

Planet Fitness also withdrew its three-year sales growth guidance, adding to investor unease. Still, same-store sales rose 3.5%, suggesting the underlying business retains some momentum.

What could go wrong? The stock has underperformed the S&P 500 by 76 percentage points — a staggering gap that signals deep market scepticism about the company's growth trajectory. Pulling long-term guidance rarely inspires confidence, and further earnings disappointments could push the share price lower still.

The signal: Torque's move fits a familiar pattern: a value-oriented investor stepping in after a sharp sell-off, betting the market has overreacted. Whether that conviction pays off depends on whether Planet Fitness can stabilise its growth story and regain Wall Street's trust.