Peloton Interactive (NASDAQ:PTON) Stock Rating Upgraded by Zacks Research

Peloton Interactive (NASDAQ:PTON) was upgraded by equities research analysts at Zacks Research from a “hold” rating to a “strong-buy” rating in a report released on Thursday, Zacks reports.

Several other research analysts have also weighed in on the company. UBS Group reaffirmed a “buy” rating on shares of Peloton Interactive in a research report on Thursday. Weiss Ratings raised Peloton Interactive from a “sell (d+)” rating to a “hold (c-)” rating in a report on Friday, October 2nd. Wall Street Zen raised shares of Peloton Interactive from a “buy” rating to a “strong-buy” rating in a research note on Saturday. Morgan Stanley downgraded shares of Peloton Interactive from an “equal weight” rating to an “underweight” rating and lowered their target price for the stock from $5.00 to $4.50 in a report on Tuesday, September 8th. Finally, Telsey Advisory Group restated a “market perform” rating on shares of Peloton Interactive in a report on Friday. One analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average price target of $7.60.

Peloton Interactive Stock Down 0.9%

Shares of NASDAQ:PTON traded down $0.05 during midday trading on Thursday, reaching $5.61. The company had a trading volume of 13,151,457 shares, compared to its average volume of 7,405,443. The business’s 50 day moving average price is $5.13 and its 200 day moving average price is $5.21. The stock has a market cap of $2.46 billion, a PE ratio of 20.04, a P/E/G ratio of 0.42 and a beta of 2.56. Peloton Interactive has a 1-year low of $3.65 and a 1-year high of $7.92.

Peloton Interactive (NASDAQ:PTON) last released its earnings results on Thursday, November 5th. The company reported $0.19 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.11 by $0.08. Peloton Interactive had a negative return on equity of 23.92% and a net margin of 2.58%. The business had revenue of $559.20 million for the quarter, compared to analyst estimates of $553.46 million. During the same quarter in the prior year, the company posted $0.03 earnings per share. Peloton Interactive’s revenue was up 1.5% on a year-over-year basis. On average, research analysts expect that Peloton Interactive will post 0.31 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, insider Dion Sanders sold 112,512 shares of Peloton Interactive stock in a transaction dated Wednesday, August 19th. The stock was sold at an average price of $5.45, for a total transaction of $613,190.40. Following the completion of the transaction, the insider owned 18,801 shares in the company, valued at approximately $102,465.45. This trade represents a 85.68% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Saqib Baig sold 36,439 shares of the business’s stock in a transaction that occurred on Monday, August 17th. The stock was sold at an average price of $5.36, for a total value of $195,313.04. Following the transaction, the chief accounting officer directly owned 272,641 shares in the company, valued at approximately $1,461,355.76. This trade represents a 11.79% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 217,712 shares of company stock worth $1,177,289. Company insiders own 1.30% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Pale Fire Capital SE acquired a new position in shares of Peloton Interactive during the 1st quarter worth approximately $26,746,000. Technology Crossover Management IX Ltd. bought a new position in Peloton Interactive during the second quarter worth $21,727,601. Kanen Wealth Management LLC bought a new position in Peloton Interactive during the first quarter worth $7,560,000. Bastion Asset Management Inc. bought a new position in Peloton Interactive during the first quarter worth $7,020,000. Finally, Walleye Capital LLC increased its holdings in shares of Peloton Interactive by 703.6% in the first quarter. Walleye Capital LLC now owns 1,423,719 shares of the company’s stock valued at $6,108,000 after purchasing an additional 1,246,557 shares during the last quarter. 77.01% of the stock is currently owned by institutional investors.

Key Peloton Interactive News

Here are the key news stories impacting Peloton Interactive this week:

• Positive Sentiment: Fiscal Q1 2027 earnings beat estimates: adjusted EPS was $0.19 versus $0.11 expected, while revenue of $559.2 million also topped consensus. Gross margin reached 61.3% and adjusted EBITDA was $168 million. Earnings call highlights
• Positive Sentiment: Cash flow and balance-sheet progress were notable: operating cash flow rose to $146 million, Peloton reported a net cash position, and it reduced gross principal debt by nearly $500 million in calendar 2026. Management is targeting at least $350 million in fiscal 2027 free cash flow. Fiscal 2027 outlook
• Positive Sentiment: Zacks added PTON to its Rank #1 (Strong Buy) list, and an analyst-consensus article pointed to potential upside from price targets and improving earnings estimates. These are supportive signals, though price targets are not reliable predictors. Zacks Strong Buy list
• Neutral Sentiment: Telsey reiterated its Market Perform rating, signaling a more cautious view despite the earnings beat. Telsey rating
• Negative Sentiment: Fiscal 2027 revenue guidance of $2.3 billion–$2.4 billion falls short of the $2.4 billion consensus at the midpoint, and management expects a modest full-year revenue decline amid continued subscription pressure. Q2 guidance of $625 million–$650 million also spans below the $635.4 million consensus at its low end. Earnings call highlights
• Negative Sentiment: Put-option buying was unusually elevated Friday, up about 251% versus its average volume, suggesting increased demand for downside protection or bearish speculation.

About Peloton Interactive

Peloton Interactive, Inc is a connected-fitness company that combines exercise equipment, digital content and subscription services. Its product portfolio includes the Peloton Bike, Bike+, Tread treadmill, Row rowing machine and related accessories, apparel and fitness products. The company’s equipment is designed to connect users with live and on-demand instructor-led workouts through integrated screens and digital platforms.

Peloton offers subscription memberships that provide access to classes in cycling, running, strength training, yoga, meditation, rowing and other fitness disciplines.