Share prices of Peloton Interactive (NASDAQ: PTON) are down roughly 55% over the past year and 95% from their 2021 highs. Basically, investors have soured on the connected exercise equipment idea now that the world is moving past the emergency phase of coronavirus pandemic. Peloton is looking to move on, too, shifting to an app-based model. Is it worth buying on the hope that this reinvention works?
During the early days of the coronavirus pandemic, when people were socially distancing and working from home, having an exercise bike that connected to the internet was great. It basically simulated the feel of being in a gym without actually having to go to a gym. Investors pushed Peloton stock up to massive heights, along with a lot of other coronavirus-related names (Clorox and its cleaning products are an example).
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Source Fool.com