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Key Takeaways
- Peloton stock jumped after Canccord Genuity upgraded the company to "buy" from "hold."
- The stationary bike company is at a "turning point in its journey" and the “clear leader in the connected fitness industry,”
- Last month, the company reported quarterly results that beat analysts' expectations.
Peloton’s (PTON), shares rose Friday after Canaccord Genuity analysts upgraded the stock to “buy” and “hold” from “hold.”
The analysts wrote in a Thursday note that the company was the “clear industry leader in connected fitness,” with a “loyal customer base” of six million. Canaccord Genuity has maintained its $10 price goal for the stock. The target is roughly 50% higher than what the shares of Peloton rose to intraday. Visible Alpha says that the analyst consensus is $10.59.
The upgrade comes just a month after Peloton’s quarterly results surpassed analysts’ expectations, despite revenue declining year-overyear. The stationary bike maker stated that it had a “steep mountain to climb” to achieve sustained, profitable growth.
Peloton hasn't reported an unadjusted quarterly profit since 2021, according to Visible Alpha. However, the company "is at the turning point in its journey where there is meaningful upside potential from current levels," Canaccord analysts said.
Peloton shares are up by more than 9% on Friday. The stock has gained more than 50% in the past year, but it has lost a quarter of its worth so far in 2025 due to market turmoil.
