Down 74% in 2022, Is Now Finally the Time to Buy Peloton Stock?
Peloton (NASDAQ: PTON) has experienced a dramatic rise and fall during the coronavirus pandemic. Sales surged at the onset as gym closures forced people to look for at-home exercising options -- Peloton could hardly keep up with orders. Folks were waiting 10 weeks or more to get their equipment delivered, an eternity in the age of Amazon Prime.
When gyms started reopening en masse in 2021, demand for Peloton products fell. The sudden decrease caught the company off-guard after it planned to boost capacity. Investors have not been forgiving, causing the stock to fall 74% in 2022. After the steep drop, is it finally time to buy Peloton stock?
It can be easy to forget that Peloton grew sales rapidly before the pandemic's onset. The company has become so synonymous with a pandemic beneficiary that its success before the outbreak is often neglected. Revenue grew from $219 million to $915 million from 2017 to 2019. Admittedly, the outbreak put fuel on the fire, boosting revenue by as much as 200% in one quarter.
Source Fool.com