Peloton Interactive, Inc. (NASDAQ:PTON) Receives Average Rating of "Hold" from Brokerages

Key Points

• Wall Street’s stance is cautious: Peloton has an average analyst rating of “Hold” from 14 covering analysts, with a consensus 12-month price target of $8.25.
• Insiders have been selling shares: Recent transactions included sales by insider Dion C. Sanders and CFO Saqib Baig, and insiders have sold 176,241 shares worth about $925,207 over the last 90 days.
• Recent earnings showed modest improvement but missed estimates: Peloton reported $0.06 EPS versus expectations of $0.07, while revenue rose 1.1% year over year; the stock was down 2.7% and opened at $6.12.

Shares of Peloton Interactive, Inc. (NASDAQ:PTON - Get Free Report) have been given an average recommendation of "Hold" by the fourteen analysts that are presently covering the firm, MarketBeat reports. One research analyst has rated the stock with a sell rating, eight have given a hold rating and five have given a buy rating to the company. The average 1 year target price among brokerages that have issued ratings on the stock in the last year is $8.25.

Several equities research analysts have recently issued reports on PTON shares. UBS Group reiterated a "buy" rating on shares of Peloton Interactive in a research report on Monday, June 15th. The Goldman Sachs Group upped their target price on shares of Peloton Interactive from $7.00 to $8.00 and gave the stock a "buy" rating in a research report on Friday, May 8th. Weiss Ratings raised shares of Peloton Interactive from a "sell (d)" rating to a "sell (d+)" rating in a research note on Tuesday, May 26th. Telsey Advisory Group reiterated a "market perform" rating on shares of Peloton Interactive in a report on Wednesday, May 27th. Finally, Wall Street Zen upgraded shares of Peloton Interactive from a "hold" rating to a "buy" rating in a report on Saturday, May 16th.

Insider Transactions at Peloton Interactive

In other Peloton Interactive news, insider Dion C. Sanders sold 112,523 shares of the firm's stock in a transaction that occurred on Wednesday, May 20th. The stock was sold at an average price of $5.19, for a total transaction of $583,994.37. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Saqib Baig sold 29,075 shares of Peloton Interactive stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $5.27, for a total value of $153,225.25. Following the completion of the sale, the chief financial officer directly owned 250,019 shares in the company, valued at approximately $1,317,600.13. The trade was a 10.42% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 176,241 shares of company stock valued at $925,207. Company insiders own 1.30% of the company's stock.

Hedge Funds Weigh In On Peloton Interactive

Several institutional investors have recently bought and sold shares of PTON. GAMMA Investing LLC increased its holdings in shares of Peloton Interactive by 232.0% in the 2nd quarter. GAMMA Investing LLC now owns 4,399 shares of the company's stock worth $26,000 after buying an additional 3,074 shares during the last quarter. Sankala Group LLC bought a new position in shares of Peloton Interactive in the 4th quarter valued at about $31,000. Cora Capital Advisors LLC purchased a new position in Peloton Interactive in the first quarter worth about $43,000. Advisory Services Network LLC purchased a new position in Peloton Interactive in the third quarter worth about $48,000. Finally, SummitTX Capital L.P. bought a new stake in Peloton Interactive during the first quarter worth approximately $50,000. Institutional investors own 77.01% of the company's stock.

Peloton Interactive Stock Down 2.7%

NASDAQ PTON opened at $6.12 on Friday. Peloton Interactive has a twelve month low of $3.65 and a twelve month high of $9.20. The business has a 50-day moving average price of $5.75 and a 200-day moving average price of $5.25. The firm has a market cap of $2.65 billion, a price-to-earnings ratio of 153.04, a price-to-earnings-growth ratio of 0.47 and a beta of 2.52.

Peloton Interactive (NASDAQ:PTON - Get Free Report) last issued its earnings results on Thursday, May 7th. The company reported $0.06 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.07 by ($0.01). Peloton Interactive had a net margin of 0.94% and a negative return on equity of 6.95%. During the same period in the prior year, the company posted ($0.12) EPS. The company's revenue for the quarter was up 1.1% on a year-over-year basis. Research analysts expect that Peloton Interactive will post 0.13 EPS for the current fiscal year.

About Peloton Interactive

Peloton Interactive, Inc operates a digital fitness platform that combines connected exercise equipment with live and on-demand workout classes. The company's core products include stationary bikes (Peloton Bike and Bike+), treadmills (Peloton Tread and Tread+), and the Peloton Row. Each device integrates a touchscreen display that streams instructor-led cycling, running, strength, yoga, meditation and other fitness classes. Peloton generates recurring revenue through subscription plans, which grant users access to its growing library of workouts, performance tracking tools and community features.

Founded in 2012 by John Foley and headquartered in New York City, Peloton set out to deliver an immersive home-fitness experience by blending hardware, software and content.

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