Peloton Stock in 2023: Bull vs. Bear
After rapidly approaching a $50 billion market cap roughly two years ago, Peloton Interactive (NASDAQ: PTON) is facing a new reality today. Its shares plunged by an eye-watering 78% in 2022, and investors are wondering what the future holds.
Although the business now carries a market cap of just $3.7 billion, Peloton stock has remained on the radar of many investors. Let's dissect the bull and bear cases for the once-booming connected fitness brand.
It's probably not a huge surprise that a critical feature of the bull case for Peloton centers on the idea that demand for its expensive equipment will bounce back and return to growth. Its sales climbed 99.6% in fiscal 2020 (which ended June 30, 2020), and then another 120.3% in fiscal 2021 as consumers sought out ways to work out at home during the early stages of the pandemic. While its sales have undoubtedly declined in more recent quarters, management is trying whatever it can to drive higher interest in its offerings.
Source Fool.com
