Peloton Interactive (NASDAQ:PTON) Given New $5.75 Price Target at Morgan Stanley

Key Points

• Morgan Stanley has increased its price target for Peloton Interactive from $4.00 to $5.75, maintaining an "equal weight" rating on the stock, which suggests a potential downside from the stock's previous close.
• Other analysts have also raised their ratings and target prices for Peloton, with Macquarie setting a new target of $10.00 and UBS Group at $11.00.
• Peloton's stock has shown a volatile performance, trading down during midday on Monday at around $6.60, while having a 12-month trading range from $2.83 to $10.90.

Peloton Interactive (NASDAQ:PTON - Free Report) had its target price hoisted by Morgan Stanley from $4.00 to $5.75 in a research note published on Monday,Benzinga reports. They currently have an equal weight rating on the stock.

Other research analysts also recently issued research reports about the company. Bank of America cut their price target on Peloton Interactive from $11.50 to $9.50 and set a "buy" rating for the company in a research note on Tuesday, April 15th. UBS Group upgraded Peloton Interactive from a "neutral" rating to a "buy" rating and lifted their price objective for the stock from $7.50 to $11.00 in a research report on Wednesday, July 30th. Telsey Advisory Group reiterated a "market perform" rating and set a $8.00 target price on shares of Peloton Interactive in a report on Friday, August 1st. Deutsche Bank Aktiengesellschaft raised Peloton Interactive from a "hold" rating to a "buy" rating and set a $6.60 price target for the company in a report on Monday, April 14th. Finally, Needham & Company LLC restated a "hold" rating on shares of Peloton Interactive in a research report on Friday, May 9th. Ten research analysts have rated the stock with a hold rating and nine have issued a buy rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus price target of $8.73.

Peloton Interactive Price Performance

Peloton Interactive stock traded up $0.37 during mid-day trading on Monday, reaching $7.48. The company had a trading volume of 10,981,272 shares, compared to its average volume of 14,323,140. The stock's 50-day simple moving average is $6.72 and its 200-day simple moving average is $6.91. Peloton Interactive has a 1 year low of $2.83 and a 1 year high of $10.90. The company has a market capitalization of $2.91 billion, a P/E ratio of -16.99 and a beta of 2.08.

Peloton Interactive (NASDAQ:PTON - Get Free Report) last released its quarterly earnings data on Thursday, August 7th. The company reported $0.05 earnings per share for the quarter, beating the consensus estimate of ($0.07) by $0.12. The firm had revenue of $606.90 million during the quarter, compared to analysts' expectations of $580.29 million. The business's revenue for the quarter was down 5.8% on a year-over-year basis. During the same period in the previous year, the business earned ($0.08) earnings per share. On average, equities analysts forecast that Peloton Interactive will post -0.36 EPS for the current fiscal year.

Insiders Place Their Bets

In other Peloton Interactive news, CFO Elizabeth F. Coddington sold 38,708 shares of Peloton Interactive stock in a transaction on Monday, June 16th. The shares were sold at an average price of $6.96, for a total value of $269,407.68. Following the transaction, the chief financial officer owned 294,342 shares in the company, valued at $2,048,620.32. This trade represents a 11.62% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Jennifer Cunningham Cotter sold 145,622 shares of the company's stock in a transaction on Friday, May 16th. The stock was sold at an average price of $6.25, for a total value of $910,137.50. Following the sale, the insider owned 235,439 shares of the company's stock, valued at approximately $1,471,493.75. The trade was a 38.21% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 576,585 shares of company stock valued at $3,688,758. 1.34% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Peloton Interactive

Institutional investors have recently added to or reduced their stakes in the company. T. Rowe Price Investment Management Inc. lifted its stake in shares of Peloton Interactive by 29.4% in the 1st quarter. T. Rowe Price Investment Management Inc. now owns 21,760,678 shares of the company's stock valued at $137,528,000 after purchasing an additional 4,940,422 shares in the last quarter. Nuveen LLC acquired a new stake in Peloton Interactive during the 1st quarter worth approximately $23,239,000. Voloridge Investment Management LLC raised its holdings in Peloton Interactive by 1,438.9% in the fourth quarter. Voloridge Investment Management LLC now owns 3,109,054 shares of the company's stock valued at $27,049,000 after buying an additional 2,907,023 shares during the period. Vanguard Group Inc. lifted its position in Peloton Interactive by 6.2% during the first quarter. Vanguard Group Inc. now owns 37,246,652 shares of the company's stock valued at $235,399,000 after buying an additional 2,186,862 shares in the last quarter. Finally, Renaissance Technologies LLC lifted its position in Peloton Interactive by 59.5% during the fourth quarter. Renaissance Technologies LLC now owns 5,833,700 shares of the company's stock valued at $50,753,000 after buying an additional 2,176,400 shares in the last quarter. Hedge funds and other institutional investors own 77.01% of the company's stock.

Peloton Interactive Company Profile

Peloton Interactive, Inc operates interactive fitness platform in North America and internationally. The company offers connected fitness products with touchscreen that streams live and on-demand classes under the Peloton Bike, Peloton Bike+, Peloton Tread, Peloton Tread+, Peloton Guide, and Peloton Row names.