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Peloton (PTON) closed at $24.60 in the latest trading session, marking a +1.44% move from the prior day. This change outpaced the S&P 500’s 0.52% gain on the day. Meanwhile, the Dow lost 0.06%, and the Nasdaq, a tech-heavy index, added 0.37%.
Heading into today, shares of the exercise bike and treadmill company had lost 28.38% over the past month, lagging the Consumer Discretionary sector’s loss of 10.28% and the S&P 500’s loss of 6.51% in that time.
Wall Street will be looking for positivity from Peloton as it approaches its next earnings report date. This is expected to be February 8, 2022. In that report, analysts expect Peloton to post earnings of -$1.18 per share. This would mark a year-over-year decline of 755.56%. Our most recent consensus estimate is calling for quarterly revenue of $1.14 billion, up 6.99% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of -$2.95 per share and revenue of $4.28 billion, which would represent changes of -360.94% and +6.52%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Peloton. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company’s business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 4.09% lower within the past month. Peloton is holding a Zacks Rank of #3 (Hold) right now.
The Leisure and Recreation Products industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 163, which puts it in the bottom 37% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Peloton Interactive, Inc. (PTON): Free Stock Analysis Report
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