PELOTON INTERACTIVE INC. (ticker symbol: PTON) is the world’s largest interactive fitness platform, offering connected fitness equipment and live fitness classes.
PELOTON INTERACTIVE INC. was founded on January 3, 2012, by John Foley, Graham Stanton, Thomas Cortese, Yony Feng and Hisao Kushi and is headquartered in New York, USA. The company went public on September 26, 2019, with a $1.16B valuation.
The first company to pioneer connected, technology-enabled fitness for its members, PELOTON INTERACTIVE INC. operates through three reportable revenue segments: Connected Fitness Products, Subscription and Other. The Connected Fitness Product segment comprises bike, thread, and other equipment sales. The Subscription segment involves the company’s monthly subscription revenues, and the “Other” segment consists of boutique and apparel sales.
PELOTON INTERACTIVE INC. shares are traded on the NASDAQ stock exchange (ticker symbol: PTON), while PTON’s index membership includes Nasdaq 100, Russell 1000, Nasdaq Composite and Russell 3000. PELOTON INTERACTIVE INC. has made several significant acquisitions over the years, including:
- In June 2018, PELOTON INTERACTIVE INC. acquired music distributor Neurotic Media, and in November of the following year, it bought product development company Gossamer Engineering for an undisclosed amount.
- In 2020, PELOTON INTERACTIVE INC. announced the acquisitions of AI and digital fitness-technology startups Aiqudo, Atlas Wearables, and Otari.
- PELOTON INTERACTIVE INC.’s latest acquisition was on December 21, 2020, when it acquired fitness-equipment rival Precor for $420 million from the Finnish sporting goods company Amer Sports. The move secured PELOTON INTERACTIVE INC. 625K square feet of manufacturing space in North Carolina and Washington.
PTON Stock History
Often described as the “Netflix for fitness,” PELOTON INTERACTIVE INC. quickly grew into a sensational brand with a cult-like following, only to later face significant headwinds on diminished demand. Founded in January 2012 by John Foley, Graham Stanton, Thomas Cortese, Yony Feng, and Hisao Kushi, PELOTON INTERACTIVE INC was off to a promising start after it raised $400,000 in seed financing in February 2012 and another $3.5 million in December 2012.
PELOTON INTERACTIVE INC. began shipping its first bikes in 2014, and it didn’t take long for the company to develop a cult-like following. Naturally, big-name investors quickly came calling, and in 2018, PELOTON INTERACTIVE INC. raised $550 million in venture capital funding, bringing the company’s valuation to $4.1 billion. That same year, PELOTON INTERACTIVE INC. introduced its first treadmill, Peloton Tread, and after selling over 577,000 units, the company filed for an initial public offering. However, PELOTON INTERACTIVE INC.’s IPO debut was a disaster, with the PTON shares plunging over 23% on IPO.
In 2020, and as the Covid-19 pandemic brought global lockdown, PELOTON INTERACTIVE INC. fitness equipment sales and subscriptions skyrocketed, but the unexpected uptick in demand also revealed the cracks in Peloton’s manufacturing lines. Clients began reporting faulty equipment causing PELOTON INTERACTIVE INC. shares to plummet, and as the pandemic began to recede, so did the company’s popularity. As of June 2022, PTON investors have yet to receive PELOTON INTERACTIVE INC. dividends.
How to Trade PELOTON INTERACTIVE INC.
With widely fluctuating price action, PELOTON INTERACTIVE INC. shares have gained popularity among CFD traders. Here are some factors that traders should consider before trading PELOTON INTERACTIVE INC. stocks:
- Marketing Headwinds
Despite its promising start, PELOTON INTERACTIVE INC. has had a number of high-profile marketing mishaps due to its questionable advertising tactics. For example, the company’s controversial 2021 Christmas ad brought widespread social media backlash that caused the PTON stocks to lose 9% in value just a few days after the company’s Christmas ad aired.
- New Product/Services Rollout
PELOTON INTERACTIVE INC. rose to “cult status” due to the company’s ability to think outside the box and create a new, interactive fitness experience. Investors should pay close attention to PELOTON INTERACTIVE INC.’s future product rollouts as they might be the next big thing.
- Periodical Earnings Reports
As with any growth stock, it is vital to keep an eye on PELOTON INTERACTIVE INC.’s quarterly earnings reports, which include essential metrics such as net income, earnings per share, earnings from continuing operations, and net sales. PELOTON INTERACTIVE INC.’s fiscal year runs from November 1 to October 30 of the following year. The company releases quarterly reports at the end of every quarter, enabling investors to gauge PELOTON INTERACTIVE INC.’s financial health.
AvaTrade PELOTON INTERACTIVE INC. Stock Trading Information
- Peleton Interactive Stock Symbol: #PTON
- Trading Times: Monday – Friday 14:30 – 20:59 GMT
- Country: USA
- Currency: USD
- Exchange: NASDAQ
- Leverage up to: 5:1
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