Peloton Interactive, Inc. (NASDAQ:PTON) Stock Has Average Target Price of $7.95

Shares of Peloton Interactive, Inc. (NASDAQ:PTON) have been given an average recommendation of “Hold” by the twelve research firms that are currently covering the company, MarketBeat reports. One analyst has rated the stock with a sell rating, seven have assigned a hold rating and four have given a buy rating to the company. The average 1 year price objective among brokers that have issued ratings on the stock in the last year is $7.72.

Several analysts recently weighed in on the stock. Telsey Advisory Group reiterated a “market perform” rating on shares of Peloton Interactive in a research report on Monday, August 3rd. Weiss Ratings upgraded shares of Peloton Interactive from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Friday, October 2nd. Morgan Stanley cut shares of Peloton Interactive from an “equal weight” rating to an “underweight” rating and decreased their target price for the stock from $5.00 to $4.50 in a research report on Tuesday, September 8th. Finally, UBS Group dropped their price target on shares of Peloton Interactive from $11.00 to $10.00 and set a “buy” rating on the stock in a research note on Tuesday, September 8th.

Peloton Interactive Price Performance

Shares of PTON opened at $4.85 on Thursday. The company has a market cap of $2.13 billion, a P/E ratio of 40.42, a PEG ratio of 0.38 and a beta of 2.54. The stock has a fifty day moving average price of $5.31 and a 200 day moving average price of $5.40. Peloton Interactive has a 12 month low of $3.65 and a 12 month high of $8.19.

Peloton Interactive (NASDAQ:PTON) last posted its earnings results on Thursday, August 6th. The company reported $0.13 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.11 by $0.02. Peloton Interactive had a negative return on equity of 23.92% and a net margin of 2.58%.The company had revenue of $607.70 million for the quarter, compared to analysts’ expectations of $596.60 million. During the same period last year, the business posted $0.05 earnings per share. The firm’s quarterly revenue was up .1% compared to the same quarter last year. As a group, research analysts anticipate that Peloton Interactive will post 0.31 earnings per share for the current year.

Insider Buying and Selling

In related news, insider Dion Sanders sold 112,512 shares of the stock in a transaction that occurred on Wednesday, August 19th. The stock was sold at an average price of $5.45, for a total value of $613,190.40. Following the completion of the transaction, the insider directly owned 18,801 shares of the company’s stock, valued at $102,465.45. This represents a 85.68% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Karen Boone sold 25,000 shares of the firm’s stock in a transaction that occurred on Monday, August 17th. The shares were sold at an average price of $5.35, for a total value of $133,750.00. Following the completion of the sale, the director owned 236,063 shares in the company, valued at approximately $1,262,937.05. This represents a 9.58% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 182,061 shares of company stock valued at $989,779 in the last three months. 1.30% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the business. Eminence Capital LP lifted its holdings in Peloton Interactive by 20.3% in the fourth quarter. Eminence Capital LP now owns 18,154,907 shares of the company’s stock worth $111,834,000 after purchasing an additional 3,069,497 shares during the period. Pale Fire Capital SE increased its stake in Peloton Interactive by 24.0% during the 2nd quarter. Pale Fire Capital SE now owns 7,728,586 shares of the company’s stock valued at $45,676,000 after buying an additional 1,494,009 shares during the period. Norges Bank acquired a new position in Peloton Interactive during the 4th quarter valued at about $23,796,000. Technology Crossover Management IX Ltd. bought a new stake in shares of Peloton Interactive during the 2nd quarter worth about $21,727,601. Finally, CastleKnight Management LP raised its position in shares of Peloton Interactive by 3.6% during the 4th quarter. CastleKnight Management LP now owns 2,405,200 shares of the company’s stock worth $14,816,000 after buying an additional 84,300 shares in the last quarter. 77.01% of the stock is owned by institutional investors and hedge funds.

Peloton Interactive Company Profile

Peloton Interactive, Inc is a connected fitness company that combines exercise equipment, digital technology and subscription-based workout content. Its platform provides instructor-led and on-demand classes across cycling, running, strength training, rowing, yoga, meditation and other fitness activities.

Peloton’s product portfolio includes the Peloton Bike and Bike+, Tread treadmill, Row rowing machine and Guide strength-training device. The company also offers a standalone Peloton App, which gives members access to digital classes and wellness content on compatible devices without requiring Peloton hardware.

Founded in 2012, Peloton initially built its business around connected indoor cycling before expanding into additional equipment and digital fitness services.