Peloton Investors Will Want to Heed This Crucial Data Point

October 01, 2021 by NASDAQ

After soaring 434% in 2020, Peloton (NASDAQ: PTON) stock has taken a breather this year, shedding 44% of its value so far. With people stuck at home and looking for ways to work out, the pandemic gave the business a nice boost, but things seem to be slowing down. Revenue growth of 54% in the fourth quarter was a dramatic deceleration from the previous four quarters.

As we continue making progress putting the pandemic in our rearview mirror, this consumer-discretionary stock faces numerous challenges, primarily from the additional choices exercise junkies have today including traditional brick-and-mortar gyms.

Investors need to pay attention to this crucial information.

Working out at home and in person

Similar to how corporations are planning for a hybrid model with work schedules split between the office and home, the future of fitness is on that same path. In a February survey, Mindbody, a service provider to the health and fitness industry, revealed that 65% of respondents plan to work out both at home and in-person (at the gym or studio) in a post-pandemic world. Peloton shareholders must focus on this critical statistic going forward.

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