It's Time For a Quick Look at Peloton Interactive (PTON)'s Fundamentals

Peloton Interactive logged a -5.1% change during today's evening session, and is now trading at a price of $11.13 per share. The S&P 500 index moved -0.0% and the Nasdaq posted a -1.0% change.

Peloton Interactive shares moved -52.9% over the last 52 weeks, with a high of $26.5 and a low of $6.66. During this time, the stock lagged the S&P 500 index by -44.0%. As of January 2022, the company's 50-day average price is $12.51. Peloton Interactive, Inc. operates interactive fitness platform in North America and internationally. The mid-cap Consumer Discretionary company has 6,048 full time employees and is based in New York, NY. Peloton Interactive has not offered any dividends in the last year.

The Company Has Irregular and Negative Cash Flows:

2019-06-30 2020-06-30 2021-06-30 2022-06-30
Revenue (MM) $915 $1,826 $4,022 $3,582
Revenue Growth n/a 99.55% 120.27% -10.93%
Gross Margins 41.9% 45.8% 36.1% 19.5%
Gross Margins Growth n/a 9.31% -21.18% -45.98%
Operating Margins -22.1% -4.4% -4.7% -45.9%
Operating Margins Growth n/a 80.09% -6.82% -876.6%
Net Margins -21.38% -3.92% -4.7% -78.94%
Net Margins Growth n/a 81.67% -19.9% -1579.57%
Earnings Per Share -$0.84 -$0.32 -$0.64 -$9.21
EPS Growth n/a 61.9% -100.0% -1339.06%
Diluted Shares (MM) 234 221 294 327
Free Cash Flow (MM) -$192 $220 -$492 -$2,357
FCF Growth n/a 214.82% -323.59% -379.22%
Capital Expenditures (MM) -$83 -$156 -$252 -$337
LT Debt to Equity nan nan 0.47 2.62

Peloton Interactive has negative earnings for the current period, so its trailing twelve month P/E ratio is not meaningful. Its forward P/E isn't meaningful either because its guidance EPS is -0.84.

Peloton Interactive's P/B ratio is 125.1 compared to its sector average of 3.12. The company is likely overvalued in terms of its book value.

Peloton Interactive Is the Subject of Mixed Market Indicators:

22 analysts are following Peloton Interactive and have set target prices ranging from $4.5 to $22.0 per share. On average, they have given the company a rating of buy. At the current price of $11.13, PTON is trading -28.84% away from its average analyst target price of $15.64 per share, implying an analyst consensus of strong upside potential for the stock.

The company has an above average percentage of its shares sold short since 12.5% of the company's shares are tied to short positions. Institutions own 88.9% of Peloton Interactive's shares, while the insider ownership rate stands at 2.28%. The biggest shareholder is Price (T.Rowe) Associates Inc with a 15% stake in the company worth approximately $539,313,849.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.