The Gym Group – the impressive and steady growth of this group will see its shares react well to a good Trading Update this Wednesday

Mark Watson-Mitchell - 06.07.2026

This Wednesday, 8th July, The Gym Group (LON:GYM) will be issuing a Trading Update covering the first six months of its current year.

The leading low-cost gym operator could well be guiding investors towards a very fit set of revenues, profits and earnings in 2026.

Its current proposition is highly successful and extremely well rated by its members.

I have to say that I do like the look of the group’s share price, despite it having risen well so far this year.

They now trade at 212p, valuing the group at around £376m, and depending on the content of this

week’s Trading Update, I feel that they could well soon be trading in the 250p price range.

The Business

Established in 2007, The Gym Group was a pioneer of the low-cost gym model and now operates c.260+ high-quality sites across the UK, offering 24/7 opening and flexible, no-contract membership.

The company has set a focus on operating high-quality, low-cost gyms that have widespread appeal, breaking down barriers to fitness for all.

It has some 923,000 members, making a total of around 70m gym visits each year.

New Openings Roll Out

A recent Investor Day showcased the further development of the group's proposition as it rolled out a fresh, compelling, contemporary design in its new sites, to continue to enhance value perception through a more premium presentation.

This year the group is on track to open at least 20 new gyms and has recently confirmed its intention to accelerate the expansion plan to some 75 new sites over the coming three years, whilst maintaining its hurdle rate of 30% ROIC.

Along with its rollout plan, it has developed a scalable, cost-effective model of the new format design for refurbishing the mature estate within its existing maintenance capital expenditure budgets.

It expects to use those refurbishments as an opportunity to 're-market' the locations, maximising the local opportunity.

The group expects to have at least 70 existing and new sites operating in the new format by the end of 2026 and the programme of expansion and investment will continue to be funded from free cash flow.

The Equity

There are some 177.70m shares in issue.

The larger holders include RBC Global Asset Management (8.06%), FORUM Family Office Services GmbH (7.97%), Liontrust Investment Partners (7.18%), Barclays Capital Securities (6.32%), Blantyre Capital (6.21%), Oxeye Capital Management (5.13%), FIL Investment Advisors (UK) (4.99%), Oxy Capital SCR SA (4.98%), Citigroup Global Markets (3.39%), and Blackmoor Investment Partners (3.04%).

Broker Views

There are some nine analysts closely following the group, eight of whom rate the shares as a Buy, the other to Outperform.

The analyst consensus average Target Price is 242p, with the Lowest calling 205p, while the Highest has set 290p.

That latter TP was set last week by analyst Sahill Shan, at Singer Capital Markets.

For the year now underway to end-December 2026, he estimates that group revenues will be £273.6m (£244.9m), with adjusted pre-tax profits of £11.8m (£10.6m), generating earnings of 5.5p (5.3p) per share.

For the 2027 year, he looks for £301.9m revenues, £15.5m profits and 6.3p earnings.

The 2028 year could show a £334.5m revenue, with £21.5m profits and 8.8p per share in earnings.

The analyst noted that the group’s shares have had a strong upwards run so far this year, but they are still below the 335p 2018 peak, and that there could be a corporate profits guidance when the group announces its Interim Results in September.

My View

The shares of The Gym Group, now 212p, have further to climb in price.

Less than five years ago they were trading at around the 295p level, since when they fell back to as low as 81p in April 2023.

The gradual upwards push has accelerated this year, indicating investor awareness of the potential of the group’s plans.

I see them easily hitting 250p.

(Profile 11.04.19 @ 220p set a Target Price of 300p*)

(Profile 12.03.25 @ 138p set a Target Price of 170p*)

(Profile 13.01.26 @ 159p set a Target Price of 190p*)

(Profile 06.07.26 @ 212p set a Target Price of 250p)