Peloton Interactive (NASDAQ:PTON) Earns Buy Rating from The Goldman Sachs Group

Key Points

• Goldman Sachs Group reaffirmed a "buy" rating for Peloton Interactive (NASDAQ:PTON) with a price target of $11.50, indicating a potential upside of 32.64% from the stock's last close.
• Peloton Interactive reported earnings of $0.05 per share, outperforming analyst estimates, while revenue for the quarter was $606.90 million, though down 5.8% year-over-year.
• Insider activity showed significant stock sales, with over 1.8 million shares sold by insiders recently, reflecting a decrease in ownership stakes among key company figures.

Peloton Interactive (NASDAQ:PTON - Get Free Report)'s stock had its "buy" rating reaffirmed by The Goldman Sachs Group in a report released on Thursday,Benzinga reports. They currently have a $11.50 price target on the stock. The Goldman Sachs Group's price target points to a potential upside of 32.64% from the stock's previous close.

A number of other equities analysts also recently issued reports on PTON. UBS Group upgraded Peloton Interactive from a "neutral" rating to a "buy" rating and lifted their price target for the company from $7.50 to $11.00 in a research note on Wednesday, July 30th. Macquarie lifted their target price on Peloton Interactive from $10.00 to $11.00 and gave the company an "outperform" rating in a research report on Thursday, August 14th. Needham & Company LLC reissued a "hold" rating on shares of Peloton Interactive in a research report on Thursday, August 7th. Truist Financial set a $11.00 price objective on Peloton Interactive in a research note on Thursday, August 7th. Finally, Telsey Advisory Group upped their target price on shares of Peloton Interactive from $8.00 to $9.00 and gave the stock a "market perform" rating in a research note on Thursday. Eight equities research analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus target price of $9.36.

Peloton Interactive Stock Down 3.7%

Shares of PTON opened at $8.67 on Thursday. The stock has a market cap of $3.54 billion, a P/E ratio of -27.97, a P/E/G ratio of 3.46 and a beta of 2.27. The business's fifty day moving average is $7.77 and its 200 day moving average is $6.94. Peloton Interactive has a 12-month low of $4.25 and a 12-month high of $10.90.

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 analysts' consensus estimates of ($0.07) by $0.12. The business had revenue of $606.90 million during the quarter, compared to the consensus estimate of $580.29 million. The firm's quarterly revenue was down 5.8% on a year-over-year basis. During the same period last year, the business posted ($0.08) earnings per share. Peloton Interactive has set its FY 2025 guidance at EPS. On average, analysts expect that Peloton Interactive will post -0.36 EPS for the current year.

Insiders Place Their Bets

In related news, insider Nick V. Caldwell sold 206,901 shares of the company's stock in a transaction that occurred on Tuesday, September 16th. The stock was sold at an average price of $7.78, for a total value of $1,609,689.78. Following the transaction, the insider owned 737,788 shares in the company, valued at approximately $5,739,990.64. This represents a 21.90% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Jennifer Cunningham Cotter sold 110,235 shares of the firm's stock in a transaction on Thursday, September 18th. The stock was sold at an average price of $8.05, for a total value of $887,391.75. Following the completion of the sale, the insider directly owned 100,269 shares of the company's stock, valued at $807,165.45. This represents a 52.37% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 1,842,992 shares of company stock valued at $14,694,447. Company insiders own 1.34% of the company's stock.

Institutional Investors Weigh In On Peloton Interactive

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Vident Advisory LLC boosted its stake in Peloton Interactive by 1.1% in the 2nd quarter. Vident Advisory LLC now owns 110,258 shares of the company's stock worth $765,000 after purchasing an additional 1,180 shares during the period. Federated Hermes Inc. increased its position in shares of Peloton Interactive by 0.3% during the first quarter. Federated Hermes Inc. now owns 533,820 shares of the company's stock valued at $3,374,000 after buying an additional 1,643 shares during the period. Victory Capital Management Inc. lifted its holdings in shares of Peloton Interactive by 4.4% in the first quarter. Victory Capital Management Inc. now owns 43,944 shares of the company's stock worth $278,000 after buying an additional 1,860 shares in the last quarter. Nisa Investment Advisors LLC boosted its position in shares of Peloton Interactive by 40.2% in the first quarter. Nisa Investment Advisors LLC now owns 6,503 shares of the company's stock valued at $41,000 after acquiring an additional 1,864 shares during the period. Finally, Wealthfront Advisers LLC boosted its position in shares of Peloton Interactive by 11.3% in the first quarter. Wealthfront Advisers LLC now owns 18,463 shares of the company's stock valued at $117,000 after acquiring an additional 1,877 shares during the period. 77.01% of the stock is currently owned by institutional investors.

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.

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