Latest news with #PTON
Yahoo
03-07-2025
- Business
- Yahoo
3 Volatile Stocks with Open Questions
A highly volatile stock can deliver big gains - or just as easily wipe out a portfolio if things go south. While some investors embrace risk, mistakes can be costly for those who aren't prepared. At StockStory, our job is to help you avoid costly mistakes and stay on the right side of the trade. Keeping that in mind, here are three volatile stocks to steer clear of and a few better alternatives. Rolling One-Year Beta: 2.54 Started as a Kickstarter campaign, Peloton (NASDAQ: PTON) is a fitness technology company known for its at-home exercise equipment and interactive online workout classes. Why Should You Sell PTON? Number of connected fitness subscribers has disappointed over the past two years, indicating weak demand for its offerings Projected sales decline of 4.1% over the next 12 months indicates demand will continue deteriorating Historical operating margin losses point to an inefficient cost structure Peloton's stock price of $6.65 implies a valuation ratio of 7.8x forward EV-to-EBITDA. Check out our free in-depth research report to learn more about why PTON doesn't pass our bar. Rolling One-Year Beta: 1.24 Historically owning furniture, banking, and other subsidiaries, ArcBest (NASDAQ:ARCB) offers full-truckload, less-than-truckload, and intermodal deliveries of freight. Why Is ARCB Risky? Declining unit sales over the past two years indicate demand is soft and that the company may need to revise its strategy Falling earnings per share over the last two years has some investors worried as stock prices ultimately follow EPS over the long term Shrinking returns on capital suggest that increasing competition is eating into the company's profitability At $83.75 per share, ArcBest trades at 13.2x forward P/E. Dive into our free research report to see why there are better opportunities than ARCB. Rolling One-Year Beta: 1.07 With roots dating back to 1863 and a presence across 26 states primarily in the Midwest and West, U.S. Bancorp (NYSE:USB) is one of America's largest banks providing lending, deposit services, wealth management, payment processing, and merchant services to individuals and businesses. Why Is USB Not Exciting? Annual net interest income growth of 6.7% over the last four years lagged behind its bank peers as its large revenue base made it difficult to generate incremental demand Weak unit economics are reflected in its net interest margin of 2.8%, one of the worst among bank companies Large asset base makes it harder to grow tangible book value per share quickly, and its annual tangible book value per share growth of 1.3% over the last five years was below our standards for the bank sector U.S. Bancorp is trading at $47.55 per share, or 1.3x forward P/B. Read our free research report to see why you should think twice about including USB in your portfolio, it's free. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
28-06-2025
- Business
- Yahoo
Peloton (PTON) Rallies 6.4% on Quarterly Window-Dressing
Peloton Interactive, Inc. (NASDAQ:PTON) is one of the . Peloton Interactive rallied by 6.42 percent on Friday to close at $6.8 apiece as investors appeared to scoop up bargains ahead of the quarterly window-dressing. In recent news, Peloton Interactive, Inc. (NASDAQ:PTON) announced the creation of a chief technology officer role in line with its plans to focus on artificial intelligence innovation. The role will be assumed by Francis Shanahan, who has led the company's engineering and technical teams, customer-facing AI innovation strategy, guided product architecture, and ensured its systems are scalable and high-performing. In the third quarter of fiscal year 2025, Peloton Interactive, Inc. (NASDAQ:PTON) narrowed its net losses by 71.5 percent to $47.7 million from $167.3 million in the same period last year, pushing its nine-month losses down by 73 percent to $140.5 million from $521.4 million in the same comparable period. A group of people in a fitness class with connected fitness products in a studio or gym. Revenues for the last quarter declined by 13 percent to $624 million from $717.7 million year-on-year, while revenues for the nine-month period decreased by 8 percent to $1.883 billion from $2.056 billion. While we acknowledge the potential of PTON as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
24-06-2025
- Business
- Yahoo
Peloton Interactive (PTON) Declines 11.2% W/W as 2 Execs Unload Stake
Peloton Interactive, Inc. (NASDAQ:PTON) is one of the . Peloton Interactive dropped its share prices by 11.2 percent week-on-week, from $6.96 on June 13 to $6.18 last Friday, following two of its executives' disposition of shares in the company. In separate regulatory filings, Peloton Interactive, Inc. (NASDAQ:PTON) said its chief finance officer, Elizabeth Coddington, and chief product officer, Nick Caldwell, sold a significant chunk of their stakes last week. Coddington, for her part, disposed of $269,322 worth of PTON stocks, covering 38,708 units at a price of $6.9578 apiece. Meanwhile, Caldwell sold worth $446,759, covering 63,925 shares at a price of $6.9888 apiece. Investors typically view insider selling negatively, especially when a company states no reason for the sale. In the third quarter of fiscal year 2025, Peloton Interactive, Inc. (NASDAQ:PTON) narrowed its net losses by 71.5 percent to $47.7 million from $167.3 million in the same period last year, pushing its nine-month losses down by 73 percent to $140.5 million from $521.4 million in the same comparable period. A group of people in a fitness class with connected fitness products in a studio or gym. Revenues for the last quarter declined by 13 percent to $624 million from $717.7 million year-on-year, while revenues for the nine-month period decreased by 8 percent to $1.883 billion from $2.056 billion. While we acknowledge the potential of PTON as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
Yahoo
15-06-2025
- Business
- Yahoo
Jim Cramer Recommends Spotify Over Peloton Interactive
Peloton Interactive, Inc. (NASDAQ:PTON) is one of the 15 stocks that Jim Cramer recently talked about. During the lightning round, a caller asked what Cramer thinks of Peloton Interactive, Inc. (NASDAQ:PTON), and he replied: 'Well, you know, it is a subscription business, and I like subscription businesses. I think that they work, but I don't think they have the growth. So, therefore, I'm going to say if you want a subscription business, I want you to be in Spotify.' A group of people in a fitness class with connected fitness products in a studio or gym. Peloton Interactive, Inc. (NASDAQ:PTON) provides connected fitness equipment and a digital platform that combines hardware, software, and content as it provides interactive workout experiences through various sales channels. During an episode of Squawk on the Street aired in March, Cramer mentioned the stock while appreciating subscription businesses. 'The fitness trend is good. Remember the fatness trend is battling with the fitness trend. But I would say that Peloton, Spotify, Netflix, Costco, subscription businesses. Subscription businesses are king. And Peloton's a subscription business. Well done… Peloton seems like it's got churn down. And I like that. That was a very good call. I thought the call was very good. Remember, I'm totally in this camp which just says, younger people want to workout.' While we acknowledge the potential of PTON as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
12-06-2025
- Business
- Yahoo
PTON Stock Rises 22% in 3 Months: Should You Buy Now or Hold Steady?
Shares of Peloton Interactive, Inc. PTON have gained 21.6% in the past three months compared with the Zacks Leisure and Recreation Products industry's 13.2% growth. The stock has outperformed the Zacks Consumer Discretionary sector's and the S&P 500's rise of 13.5% and 8.9%, respectively. Investor sentiment surrounding Peloton has turned more optimistic in recent weeks, supported by the company's ongoing turnaround efforts and strategic focus on cost efficiency. The launch of its 'Repowered' marketplace for refurbished bikes and treadmills has signaled a practical approach to addressing excess inventory while broadening its customer base, particularly among value-seeking consumers. Image Source: Zacks Investment Research Investors appear encouraged by signs of improving margins and disciplined cost control, which have helped offset concerns about demand softness and competitive pressures. Additionally, clarity around minimal tariff exposure has further alleviated fears of supply chain disruption. The uptick in institutional interest and bullish options activity suggests rising confidence that Peloton's recovery strategy may be taking Peloton is trading 32.3% below its 52-week high of $10.90. So, should investors pour more capital into PTON shares now? Let's take a closer look. Peloton is showing meaningful signs of progress as it transitions from crisis management to a focused, profitability-driven recovery. The company continues to benefit from the stickiness of its connected fitness platform, with high-margin subscription revenues now contributing nearly 70% of total sales. Subscription growth and retention continue to be pillars of Peloton's turnaround. Despite broader macroeconomic headwinds and soft hardware sales, the company added 5,000 net Connected Fitness subscriptions during the fiscal third quarter and maintained a low churn rate of 1.2%. Enhanced personalization tools, such as the newly introduced Personalized Plans and strength-based content, have been instrumental in deepening member engagement. Peloton's ability to maintain a loyal customer base reinforces the durability of its recurring revenue stream. Peloton's marketing discipline and renewed brand positioning are also beginning to bear fruit. The company's 'Find Your Power' campaign has expanded its appeal to a broader audience, especially male users, driving both higher attach rates for Tread sales and improved customer acquisition metrics. With marketing spend down 46% year over year and LTV-to-CAC improving by over 30%, Peloton is attracting new subscribers efficiently. Strategic operational decisions are further reinforcing Peloton's recovery narrative. The company is scaling new retail formats with strong early results, such as its high-performing micro-store in Nashville, and expanding through university partnerships and commercial installations via Precor. The initiatives likely support lower cost-per-acquisition while expanding brand presence across diverse channels. Despite its recent operational improvements, Peloton continues to grapple with significant headwinds, particularly in its Connected Fitness hardware business. In the third quarter of fiscal 2025, hardware revenues declined 27% year over year, reflecting soft consumer demand for premium fitness equipment amid macroeconomic headwinds. Although initiatives like refurbished product offerings and equipment rentals aim to expand reach, they have yet to meaningfully offset losses from new hardware sales. This persistent weakness raises concerns, especially given Peloton's historical reliance on hardware to drive initial subscriber pressure from digital fitness players like Apple Fitness+, Lululemon Studio, and free alternatives continues to mount, making subscriber growth increasingly difficult without significant innovation and marketing transitions also cast a shadow over Peloton's strategic direction. With multiple key executive roles still unfilled — including Chief Marketing Officer, Chief Communications Officer, and Chief Information Officer — the company is navigating critical brand repositioning and go-to-market changes without a fully staffed C-suite. As Peloton attempts to expand into new markets, relaunch its retail presence, and reposition its brand beyond cycling, these gaps in leadership may hinder effective execution and delay potential recovery. Peloton's fiscal 2025 earnings per share (EPS) estimates have been revised downward, widening from a loss of 33 cents to a loss of 41 cents over the past 60 days. This downward trend reflects weakening analyst confidence in the stock's near-term prospects. Image Source: Zacks Investment Research Industry players like Planet Fitness, Inc. PLNT have increased their earnings estimates 0.3% in the past 60 days, while estimates for Xponential Fitness, Inc. XPOF have declined 50.6% in the same time frame. Meanwhile, estimates for YETI Holdings, Inc.'s YETI earnings have declined 29.9% in the past 60 days. Peloton stock is currently trading at a discount. WYY is currently trading at a forward 12-month price-to-sales (P/S) multiple of 1.18X, well below the industry average of 4.95X, reflecting an attractive investment opportunity. Then again, other industry players, such as Planet Fitness, Xponential Fitness and YETI Holdings, have P/S ratios of 6.29X, 1.29X and 1.35X, respectively. Image Source: Zacks Investment ResearchFrom a technical perspective, PTON is currently trading above its 50-day moving average, indicating solid upward momentum and price stability. Image Source: Zacks Investment Research Peloton has made tangible progress in reshaping its business through disciplined cost control, growing subscription revenue, and strategic efforts to expand distribution and enhance brand engagement. The company's ability to generate consistent free cash flow and improve customer acquisition efficiency reflects meaningful operational improvement. With a loyal subscriber base, expanding wellness offerings, and a clear push toward profitability, Peloton's turnaround appears to be gaining challenges persist. Weakness in hardware sales, intensifying competitive pressures, and gaps in senior leadership pose risks to the company's recovery momentum. The recent downward revision in earnings estimates further clouds the near-term outlook. While Peloton is trading at an attractive valuation and showing technical strength, uncertainty around execution and top-line growth warrants caution. Given the mixed picture, investors may find it prudent to hold existing positions rather than chase the recent currently has a Zacks Rank #3 (Hold) at present. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Planet Fitness, Inc. (PLNT) : Free Stock Analysis Report YETI Holdings, Inc. (YETI) : Free Stock Analysis Report Peloton Interactive, Inc. (PTON) : Free Stock Analysis Report Xponential Fitness, Inc. (XPOF) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
