Peloton Interactive (NASDAQ:PTON) Stock Rating Raised to “Strong-Buy” at Zacks Research

Zacks Research upgraded shares of Peloton Interactive (NASDAQ:PTON) from a hold rating to a strong-buy rating in a research report released on Thursday,Zacks reports.

A number of other research analysts also recently weighed in on PTON. Canaccord Genuity Group dropped their price target on Peloton Interactive from $10.00 to $8.00 and set a “buy” rating on the stock in a research note on Friday, October 30th. Telsey Advisory Group reissued a “market perform” rating on shares of Peloton Interactive in a research note on Friday. Weiss Ratings raised Peloton Interactive from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Friday, October 2nd. The Goldman Sachs Group restated a “buy” rating on shares of Peloton Interactive in a report on Thursday. Finally, Morgan Stanley lowered 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 research report on Tuesday, September 8th. One analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $7.60.

Peloton Interactive Price Performance

Shares of Peloton Interactive stock traded down $0.05 during trading on Thursday, reaching $5.61. 13,151,457 shares of the company traded hands, compared to its average volume of 7,405,443. Peloton Interactive has a 1-year low of $3.65 and a 1-year high of $7.92. The company has a 50 day moving average price of $5.13 and a 200-day moving average price of $5.21. The firm has a market capitalization 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 (NASDAQ:PTON) last posted its quarterly earnings results on Thursday, November 5th. The company reported $0.19 earnings per share for the quarter, beating the consensus estimate of $0.11 by $0.08. The firm had revenue of $559.20 million during the quarter, compared to the consensus estimate of $553.46 million. Peloton Interactive had a net margin of 2.58% and a negative return on equity of 23.92%. The business’s revenue was up 1.5% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.03 earnings per share. Equities research analysts expect that Peloton Interactive will post 0.31 earnings per share for the current year.

Insider Buying and Selling at Peloton Interactive

In related news, COO Charles Kirol sold 28,849 shares of the firm’s stock in a transaction dated Thursday, October 15th. The shares were sold at an average price of $5.33, for a total value of $153,765.17. Following the transaction, the chief operating officer owned 197,334 shares of the company’s stock, valued at approximately $1,051,790.22. This trade represents a 12.75% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Dion Sanders sold 112,512 shares of Peloton Interactive stock in a transaction dated Wednesday, August 19th. The shares were sold at an average price of $5.45, for a total value of $613,190.40. Following the transaction, the insider owned 18,801 shares of the company’s stock, valued at $102,465.45. This trade represents a 85.68% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 217,712 shares of company stock valued at $1,177,289. Insiders own 1.30% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of PTON. GAMMA Investing LLC raised its position in Peloton Interactive by 232.0% in the 2nd quarter. GAMMA Investing LLC now owns 4,399 shares of the company’s stock valued at $26,000 after buying an additional 3,074 shares during the last quarter. SummitTX Capital L.P. purchased a new position in Peloton Interactive during the 1st quarter worth $50,000. Sterling Capital Management LLC boosted its holdings in Peloton Interactive by 37.0% during the 3rd quarter. Sterling Capital Management LLC now owns 10,218 shares of the company’s stock worth $51,000 after acquiring an additional 2,759 shares during the last quarter. NewEdge Advisors LLC grew its stake in shares of Peloton Interactive by 21.8% in the 1st quarter. NewEdge Advisors LLC now owns 12,405 shares of the company’s stock worth $53,000 after acquiring an additional 2,223 shares in the last quarter. Finally, Lotus Technology Management LP bought a new stake in shares of Peloton Interactive in the 2nd quarter worth $60,000. Hedge funds and other institutional investors own 77.01% of the company’s stock.

Peloton Interactive News Summary

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.

Peloton Interactive Company Profile

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.