FY2025 Highlights * For a reconciliation of all non-GAAP financial measures to their most directly comparable GAAP financial measure, and rationale for why we rely on these measures, see the reconciliation tables below. FY2025 Shareholder Letter August 7, 2025 Dear Shareholders, When I started at Peloton, I promised to share our strategy during our fiscal year-end earnings. So here it is–simple and short, with the assurance that we will bring this strategy to life throughout the year, including through a re ...

Core Viewpoint - Peloton Interactive Inc. is facing significant challenges, including tariffs and sales pressure, as it prepares to report its fourth-quarter and full-year fiscal 2025 earnings, with analysts maintaining a cautious outlook on the company's growth prospects [1][2][3]. Financial Performance - Peloton is expected to report a 9% year-over-year decline in quarterly sales to $586 million, which is at the high end of company guidance and slightly above the FactSet consensus of $581 million [4]. - The company anticipates a near-term impact of approximately $5 million in free cash flow pressure for the fourth quarter due to evolving trade conditions [2]. - Adjusted EBITDA is projected to be $85 million, near the top of the company's implied range of $66 million to $86 million, while gross margin is expected to be 51.4%, trailing the 52.3% consensus [5]. Subscriber and Revenue Trends - Connected fitness subscribers are forecasted to decline by 5.8% year-over-year and 3% sequentially to 2.81 million [5]. - Hardware sales are estimated to drop by 17%, and subscription revenue is expected to decrease by 5% [4]. Strategic Initiatives - The company has implemented strategic changes, including leadership adjustments under CEO Peter Stern, promotional activities during Amazon Prime Day, and potential modifications to the $44 all-access membership fee [3]. - The launch of the Peloton Repowered marketplace is also part of the company's efforts to innovate and retain customers [3]. Analyst Ratings and Market Performance - Telsey Advisory Group analyst Dana Telsey has reiterated a Market Perform rating on Peloton with a price forecast of $8, applying a ~1.5x EV/Sales multiple to the FY26 sales forecast of $2.47 billion [1][4]. - Peloton shares were trading lower by 7.91% to $6.58 at the time of publication [5].

A Wall Street analyst upgraded the stock and increased the price target. Attractive valuation At a roughly $2.5 billion market cap, the stock trades at less than 7 times' Kocharian's EBITDA forecast. However, investors should keep in mind that Kocharian is much higher than other analysts on her projection. While Peloton will likely never be the darling it was during the pandemic, the fundamentals do seem to be improving. Peloton is certainly not one of my favorite stocks in the market, but the risk-reward p ...

Peloton (PTON) shares soared 18.8% in the last trading session to close at $7.34. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 6.4% loss over the past four weeks. For Peloton, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on PTON going forward ...

Core Viewpoint - Peloton Interactive Inc's stock has seen a significant increase following an upgrade from UBS, indicating potential for further bullish sentiment in the market [1] Group 1: Stock Performance - Peloton's stock is currently trading at $6.84, up 10.7% after UBS upgraded its rating to "buy" and raised the price target to $11 from $7.50 [1] - Despite the recent gains, Peloton's stock has a year-to-date deficit of 22.4% and has struggled to break resistance at $7 since a bear gap on June 17 [2] - The stock has shown an 84.7% year-over-year lead, indicating strong long-term performance despite recent challenges [2] Group 2: Analyst Ratings and Market Sentiment - Out of 22 analysts covering Peloton, 13 have a "hold" or worse rating, suggesting room for more bullish notes [1] - The stock's short interest is significant, making up 18.7% of its available float, which could lead to a short squeeze [1] Group 3: Options Trading Activity - Options traders are exhibiting a more bullish sentiment, with a 50-day call/put volume ratio of 12.13, higher than 98% of readings from the past year [3] - There has been a notable increase in call options trading, with 19,000 calls traded, which is four times the typical volume, compared to 3,046 puts [4] - The most active options contract is the weekly 8/1 7-strike call, indicating new positions being opened [4]

Peloton is reportedly launching a national expansion of its bikes/treadmill resale marketplace.By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions .Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.A pilot version of this program yielded about three dozen sales in the ...

Core Points - Peloton Interactive, Inc. will release its fourth quarter and fiscal year 2025 financial results on August 7, 2025, before the U.S. stock market opens [1] - A conference call and live audio webcast will be held at 8:30 a.m. (Eastern Time) on the same day to discuss the financial results [1] - Management will address select questions from retail and institutional investors regarding business updates and quarterly financial results [2] Company Overview - Peloton provides members with high-quality equipment, innovative software, expert instruction, and a supportive fitness community [4] - The company was founded in 2012 and is headquartered in New York City, serving millions of members across various countries including the US, UK, Canada, Germany, Australia, and Austria [4]

Core Insights - Peloton Interactive continues to face significant challenges in growth and profitability following a post-pandemic decline, with little indication of a turnaround in its recent quarterly reports [1][4][9] - The company's stock has decreased by 20% in the first half of the year, reflecting broader market trends and weakening consumer sentiment [2][6] - Leadership changes, including the appointment of Peter Stern as CEO and Charles Kirol as COO, have not yet translated into improved business performance [4][6] Financial Performance - Revenue for the first half of the year fell by 9% to $673.9 million, with a decline in both subscribers and members [5] - In fiscal Q3, revenue further declined by 13% to $624 million, although cost-cutting measures improved the GAAP net loss from $167.3 million to $47.7 million [7] - Despite these challenges, the company has managed to turn an adjusted EBITDA loss of $81.7 million from the previous year into a profit of $58.4 million [5][7] Market Reactions - The stock experienced a brief increase in February following a Q2 earnings report, but subsequently fell due to external market pressures rather than company-specific news [4][6] - A significant drop of 12% occurred on June 17 after the Senate blocked a provision allowing Health Savings Accounts to be used for Peloton equipment [7] Future Outlook - While Peloton is making progress on its bottom line through cost-cutting strategies and has raised its revenue guidance, steady growth in revenue and subscribers remains elusive [9]

Industry Overview - The Zacks Leisure and Recreation Products industry is experiencing challenges due to the ongoing tariff war and soft macroeconomic data, but there is a positive trend in fitness product sales driven by growing health and fitness awareness [1][3] - The industry includes companies that provide a range of recreational products and services, thriving on economic growth that fuels consumer demand [2] Trends Impacting the Industry - The tariff war initiated by U.S. President Donald Trump is affecting the industry, with concerns about its impact on the U.S. economy amid inflation and global geopolitical tensions [3] - The golf industry is booming, with rising demand for golf equipment due to technological advancements and increased participation among young people, particularly in emerging markets like India and China [4] - There is robust demand for fitness-related products in the U.S., driven by health awareness and lifestyle changes, leading to increased investment in home workout equipment and digital fitness platforms [5] Industry Performance - The Zacks Leisure and Recreation Products industry currently holds a Zacks Industry Rank of 204, placing it in the bottom 17% of over 246 Zacks industries, indicating dismal near-term prospects [6][7] - The industry's earnings outlook is negative, with a 13.6% decrease in northbound earnings estimates since January 31, 2025 [8] Stock Market Performance - The industry has outperformed the S&P 500, with a collective growth of 49.8% over the past year compared to the S&P 500's 11.8% increase [10] Valuation Metrics - The industry trades at a forward price-to-earnings ratio of 35.08X, significantly higher than the S&P 500's 22.64X and the sector's 18.45X [13] Notable Companies - **Peloton**: Transitioning to a profitability-driven recovery, with high-margin subscription revenues contributing nearly 70% of total sales. Expected fiscal 2025 earnings growth of 72.9% and a stock increase of 84.8% in the past year [16][17] - **Playboy**: Benefiting from an asset-light licensing model and a rebound in its China licensing business, with a stock increase of 137.5% in the past year [20][21] - **Academy Sports and Outdoors**: Gaining from a growth strategy focused on brand partnerships and digital upgrades, but shares have declined by 2.3% in the past year with expected earnings decline of 1.7% for fiscal 2025 [24]

INVESTOR PRESENTATION May 2024 Disclaimer The information contained in this presentation is being provided to you for informational purposes only and does not constitute legal, tax, investment, accounting or other advice by Peloton Interactive, Inc. ("Peloton", "we", "us" or the "Company") or any other party and may not be relied upon as such. This presentation does not constitute an offer to sell or a solicitation of an offer to make an investment in the Company, including the purchase of any securities of ...