Peloton Interactive (NASDAQ:PTON) Stock Price Down 4.4% - Here's What Happened

Key Points

• Peloton's stock price fell by 4.4%, trading as low as $7.95 before closing at $7.83, with trading volume down 94% from its average.
• Several analysts have upgraded Peloton's stock ratings and price targets, with UBS and Goldman Sachs setting targets as high as $11.50.
• Peloton reported a quarterly earnings beat with $0.05 EPS, surpassing expectations of ($0.07), despite a 5.8% revenue decline year-over-year.

Shares of Peloton Interactive, Inc. (NASDAQ:PTON - Get Free Report) dropped 4.4% during mid-day trading on Tuesday . The stock traded as low as $7.95 and last traded at $7.83. Approximately 889,703 shares changed hands during mid-day trading, a decline of 94% from the average daily volume of 13,857,151 shares. The stock had previously closed at $8.19.

Analysts Set New Price Targets

Several analysts have recently commented on PTON shares. UBS Group upgraded shares of Peloton Interactive from a "neutral" rating to a "buy" rating and raised their price objective for the company from $7.50 to $11.00 in a research report on Wednesday, July 30th. Macquarie boosted their price objective on shares of Peloton Interactive from $10.00 to $11.00 and gave the company an "outperform" rating in a research report on Thursday, August 14th. Truist Financial set a $11.00 target price on shares of Peloton Interactive in a research report on Thursday, August 7th. Needham & Company LLC reissued a "hold" rating on shares of Peloton Interactive in a report on Thursday, August 7th. Finally, The Goldman Sachs Group raised shares of Peloton Interactive from a "neutral" rating to a "buy" rating and raised their price target for the stock from $7.00 to $11.50 in a research note on Friday, August 8th. Eight investment analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company. According to data from MarketBeat, the company currently has an average rating of "Hold" and a consensus price target of $9.29.

Peloton Interactive Stock Performance

The stock's 50-day simple moving average is $7.32 and its 200 day simple moving average is $6.78. The company has a market cap of $3.19 billion, a PE ratio of -25.08 and a beta of 2.07.

Peloton Interactive (NASDAQ:PTON - Get Free Report) last announced its quarterly earnings results on Thursday, August 7th. The company reported $0.05 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.07) by $0.12. The company had revenue of $606.90 million during the quarter, compared to analysts' expectations of $580.29 million. During the same quarter in the prior year, the business earned ($0.08) EPS. The business's revenue for the quarter was down 5.8% compared to the same quarter last year. Peloton Interactive has set its FY 2025 guidance at EPS. On average, sell-side analysts predict that Peloton Interactive, Inc. will post -0.36 EPS for the current fiscal year.

Insider Transactions at Peloton Interactive

In other Peloton Interactive news, insider Jennifer Cunningham Cotter sold 134,476 shares of the business's stock in a transaction dated Wednesday, August 20th. The stock was sold at an average price of $7.61, for a total transaction of $1,023,362.36. Following the sale, the insider owned 100,269 shares in the company, valued at approximately $763,047.09. The trade was a 57.29% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Nick V. Caldwell sold 10,477 shares of the business's stock in a transaction that occurred on Friday, August 22nd. The shares were sold at an average price of $8.00, for a total value of $83,816.00. Following the completion of the sale, the insider directly owned 590,284 shares of the company's stock, valued at approximately $4,722,272. The trade was a 1.74% decrease in their position. The disclosure for this sale can be found here. Insiders sold 898,280 shares of company stock valued at $7,260,166 in the last quarter. 1.34% of the stock is owned by company insiders.

Institutional Investors Weigh In On Peloton Interactive

A number of hedge funds and other institutional investors have recently bought and sold shares of PTON. FNY Investment Advisers LLC bought a new position in shares of Peloton Interactive during the 1st quarter worth approximately $37,000. Bessemer Group Inc. increased its holdings in Peloton Interactive by 1,602.6% in the 2nd quarter. Bessemer Group Inc. now owns 5,312 shares of the company's stock worth $37,000 after purchasing an additional 5,000 shares in the last quarter. MAI Capital Management grew its position in shares of Peloton Interactive by 64.6% in the 2nd quarter. MAI Capital Management now owns 5,498 shares of the company's stock valued at $38,000 after buying an additional 2,158 shares during the last quarter. Nisa Investment Advisors LLC boosted its position in shares of Peloton Interactive by 40.2% during the 1st quarter. Nisa Investment Advisors LLC now owns 6,503 shares of the company's stock valued at $41,000 after purchasing an additional 1,864 shares in the last quarter. Finally, GAMMA Investing LLC boosted its position in shares of Peloton Interactive by 1,082.5% during the 1st quarter. GAMMA Investing LLC now owns 8,159 shares of the company's stock valued at $52,000 after purchasing an additional 7,469 shares in the last quarter. Institutional investors and hedge funds own 77.01% of the company's stock.

About Peloton Interactive

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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