Peloton Interactive (NASDAQ:PTON) Reaches New 52-Week Low - Here's Why

Key Points

• Peloton shares hit a new 52-week low, trading as low as $3.71 (last $3.77) with a market cap around $1.63 billion and heavy volume.
• Analyst sentiment is mixed: the average rating is "Hold" with an average price target of $8.42 (7 Buys, 9 Holds, 1 Sell), and several firms have cut targets recently.
• The company reported an earnings miss (Q: ($0.09) EPS vs. ($0.07) est.) and revenue was down 2.5% YoY, while insiders sold about 1,074,910 shares (~$5.11M) in the last quarter, including a large CFO sale.

Peloton Interactive, Inc. (NASDAQ:PTON - Get Free Report) shares hit a new 52-week low on Monday . The stock traded as low as $3.71 and last traded at $3.77, with a volume of 1486824 shares trading hands. The stock had previously closed at $3.83.

Analyst Upgrades and Downgrades

Several research firms have commented on PTON. Truist Financial decreased their target price on shares of Peloton Interactive from $12.00 to $9.00 and set a "buy" rating for the company in a research report on Friday, February 6th. Zacks Research cut shares of Peloton Interactive from a "strong-buy" rating to a "hold" rating in a report on Tuesday, February 24th. Citigroup lowered their target price on shares of Peloton Interactive from $8.25 to $5.00 and set a "neutral" rating on the stock in a research report on Thursday, February 12th. Argus cut Peloton Interactive from a "buy" rating to a "hold" rating in a research report on Tuesday, February 10th. Finally, Morgan Stanley upped their price target on Peloton Interactive from $6.00 to $6.50 and gave the stock an "equal weight" rating in a research note on Wednesday, November 19th. Seven research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, Peloton Interactive presently has an average rating of "Hold" and an average price target of $8.42.

Peloton Interactive Trading Up 0.3%

The stock has a fifty day simple moving average of $5.30 and a 200-day simple moving average of $6.63. The stock has a market cap of $1.63 billion, a price-to-earnings ratio of -29.54, a price-to-earnings-growth ratio of 0.76 and a beta of 2.47.

Peloton Interactive (NASDAQ:PTON - Get Free Report) last issued its quarterly earnings results on Thursday, February 5th. The company reported ($0.09) EPS for the quarter, missing analysts' consensus estimates of ($0.07) by ($0.02). The firm had revenue of $656.50 million during the quarter, compared to the consensus estimate of $675.04 million. During the same period in the previous year, the business posted ($0.24) EPS. The firm's revenue was down 2.5% on a year-over-year basis. Sell-side analysts forecast that Peloton Interactive, Inc. will post -0.36 earnings per share for the current fiscal year.

Insider Transactions at Peloton Interactive

In other Peloton Interactive news, CFO Elizabeth F. Coddington sold 238,013 shares of the firm's stock in a transaction on Tuesday, February 17th. The shares were sold at an average price of $4.18, for a total value of $994,894.34. Following the sale, the chief financial officer directly owned 346,535 shares in the company, valued at $1,448,516.30. This trade represents a 40.72% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider Dion C. Sanders sold 146,844 shares of the business's stock in a transaction dated Friday, February 20th. The stock was sold at an average price of $4.41, for a total transaction of $647,582.04. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 1,074,910 shares of company stock worth $5,113,049. 1.30% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Peloton Interactive

Large investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. raised its stake in shares of Peloton Interactive by 2.1% in the third quarter. Vanguard Group Inc. now owns 38,636,291 shares of the company's stock valued at $347,727,000 after purchasing an additional 811,585 shares in the last quarter. Voya Investment Management LLC boosted its stake in Peloton Interactive by 325.5% during the third quarter. Voya Investment Management LLC now owns 429,929 shares of the company's stock worth $3,869,000 after buying an additional 328,894 shares in the last quarter. Jupiter Asset Management Ltd. boosted its stake in Peloton Interactive by 322.9% during the third quarter. Jupiter Asset Management Ltd. now owns 1,563,249 shares of the company's stock worth $14,069,000 after buying an additional 1,193,597 shares in the last quarter. Lisanti Capital Growth LLC bought a new stake in Peloton Interactive in the 3rd quarter valued at $2,429,000. Finally, Geode Capital Management LLC increased its holdings in Peloton Interactive by 5.7% in the 2nd quarter. Geode Capital Management LLC now owns 9,141,542 shares of the company's stock valued at $63,450,000 after buying an additional 490,353 shares during the period. Institutional investors and hedge funds own 77.01% of the company's stock.

Peloton Interactive Company Profile

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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