Peloton Interactive Stock Buy Hold or Sell Recommendation
| PTON Stock | USD 3.06 0.07 2.24% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Peloton Interactive is 'Strong Sell'. Macroaxis provides Peloton Interactive buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding PTON positions. The advice algorithm takes into account all of Peloton Interactive's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Peloton Interactive's buy or sell advice are summarized below:
Real Value 3 | Target Price 7.56 | Hype Value 3.13 | Market Value 3.06 | Naive Value 2.76 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Peloton Interactive given historical horizon and risk tolerance towards Peloton Interactive. When Macroaxis issues a 'buy' or 'sell' recommendation for Peloton Interactive, the advice is generated through an automated system that utilizes algorithms and statistical models.
Peloton |
Execute Peloton Interactive Buy or Sell Advice
The Peloton recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Peloton Interactive. Macroaxis does not own or have any residual interests in Peloton Interactive or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Peloton Interactive's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Very risky | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Very High | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Peloton Interactive Trading Alerts and Improvement Suggestions
| Peloton Interactive generated a negative expected return over the last 90 days | |
| Peloton Interactive has high historical volatility and very poor performance | |
| Peloton Interactive has a very high chance of going through financial distress in the upcoming years | |
| The company reported the previous year's revenue of 2.8 B. Net Loss for the year was (1.26 B) with profit before overhead, payroll, taxes, and interest of 923.6 M. | |
| Peloton Interactive currently holds about 1.25 B in cash with (387.6 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 3.7, which can makes it an attractive takeover target, given it will continue generating positive cash flow. | |
| Over 83.0% of the company shares are owned by institutional investors | |
| Latest headline from finance.yahoo.com: Heres Why Peloton Interactive Declined in Q1 |
Peloton Interactive Returns Distribution Density
The distribution of Peloton Interactive's historical returns is an attempt to chart the uncertainty of Peloton Interactive's future price movements. The chart of the probability distribution of Peloton Interactive daily returns describes the distribution of returns around its average expected value. We use Peloton Interactive price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Peloton Interactive returns is essential to provide solid investment advice for Peloton Interactive.
| Mean Return | -0.75 | Value At Risk | -7.32 | Potential Upside | 5.71 | Standard Deviation | 4.76 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Peloton Interactive historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Peloton Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Peloton Interactive is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Peloton Interactive backward and forwards among themselves. Peloton Interactive's institutional investor refers to the entity that pools money to purchase Peloton Interactive's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Two Sigma Investments Llc | 2023-12-31 | 5.8 M | State Street Corporation | 2023-12-31 | 5.5 M | Geode Capital Management, Llc | 2023-12-31 | 5.4 M | Jackson Square Partners, Llc | 2023-12-31 | 5.3 M | Quinn Opportunity Partners Llc | 2023-12-31 | 5.2 M | T. Rowe Price Investment Management,inc. | 2023-12-31 | 4.6 M | Camber Capital Management Llc | 2023-12-31 | 4.5 M | Technology Crossover Management Ix, Ltd. | 2023-12-31 | 3.7 M | Norges Bank | 2023-12-31 | 3.4 M | Morgan Stanley - Brokerage Accounts | 2023-12-31 | 40.6 M | Vanguard Group Inc | 2023-12-31 | 30.3 M |
Peloton Interactive Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | (96.8M) | (587.2M) | (398.6M) | 537.5M | 618.1M | 649.0M | |
| Investments | (741.3M) | 223.5M | 517.7M | (69.9M) | (80.4M) | (84.4M) | |
| Change In Cash | 874M | 98.7M | 121.9M | (372.1M) | (334.9M) | (318.1M) | |
| Free Cash Flow | 220M | (491.9M) | (2.4B) | (470M) | (423M) | (444.2M) | |
| Depreciation | 40.2M | 63.8M | 142.8M | 124.3M | 142.9M | 150.1M | |
| Other Non Cash Items | 54.1M | 74.6M | 949.1M | 407.6M | 468.7M | 492.2M | |
| Capital Expenditures | 156.4M | 252.2M | 319.7M | 82.4M | 94.8M | 146.4M | |
| Net Income | (71.6M) | (189M) | (2.8B) | (1.3B) | (1.1B) | (1.1B) | |
| End Period Cash Flow | 1.0B | 1.1B | 1.3B | 885.5M | 1.0B | 752.1M | |
| Change To Netincome | 142.9M | 273.1M | 1.2B | 622.5M | 715.9M | 375.4M |
Peloton Interactive Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Peloton Interactive or Leisure Products sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Peloton Interactive's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Peloton stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | -0.97 | |
β | Beta against NYSE Composite | 2.45 | |
σ | Overall volatility | 4.80 | |
Ir | Information ratio | -0.18 |
Peloton Interactive Volatility Alert
Peloton Interactive exhibits very low volatility with skewness of -1.7 and kurtosis of 8.03. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Peloton Interactive's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Peloton Interactive's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Peloton Interactive Implied Volatility
Peloton Interactive's implied volatility exposes the market's sentiment of Peloton Interactive stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Peloton Interactive's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Peloton Interactive stock will not fluctuate a lot when Peloton Interactive's options are near their expiration.
Peloton Interactive Fundamentals Vs Peers
Comparing Peloton Interactive's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Peloton Interactive's direct or indirect competition across all of the common fundamentals between Peloton Interactive and the related equities. This way, we can detect undervalued stocks with similar characteristics as Peloton Interactive or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Peloton Interactive's fundamental indicators could also be used in its relative valuation, which is a method of valuing Peloton Interactive by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Peloton Interactive to competition |
| Fundamentals | Peloton Interactive | Peer Average |
| Return On Equity | -8.47 | -0.31 |
| Return On Asset | -0.12 | -0.14 |
| Profit Margin | (0.32) % | (1.27) % |
| Operating Margin | (0.22) % | (5.51) % |
| Current Valuation | 2.75 B | 16.62 B |
| Shares Outstanding | 348.86 M | 571.82 M |
| Shares Owned By Insiders | 1.81 % | 10.09 % |
| Shares Owned By Institutions | 82.83 % | 39.21 % |
| Number Of Shares Shorted | 51.14 M | 4.71 M |
| Price To Book | 16.00 X | 9.51 X |
| Price To Sales | 0.48 X | 11.42 X |
| Revenue | 2.8 B | 9.43 B |
| Gross Profit | 923.6 M | 27.38 B |
| EBITDA | (687.7 M) | 3.9 B |
| Net Income | (1.26 B) | 570.98 M |
| Cash And Equivalents | 1.25 B | 2.7 B |
| Cash Per Share | 3.70 X | 5.01 X |
| Total Debt | 2.36 B | 5.32 B |
| Debt To Equity | 4.00 % | 48.70 % |
| Current Ratio | 2.38 X | 2.16 X |
| Book Value Per Share | (1.37) X | 1.93 K |
| Cash Flow From Operations | (387.6 M) | 971.22 M |
| Short Ratio | 4.89 X | 4.00 X |
| Earnings Per Share | (2.44) X | 3.12 X |
| Price To Earnings To Growth | 0.05 X | 4.89 X |
| Target Price | 5.97 | |
| Number Of Employees | 3.5 K | 18.84 K |
| Beta | 1.96 | -0.15 |
| Market Capitalization | 1.15 B | 19.03 B |
| Total Asset | 2.77 B | 29.47 B |
| Retained Earnings | (4.93 B) | 9.33 B |
| Working Capital | 877.7 M | 1.48 B |
| Net Asset | 2.77 B |
Note: Acquisition by Elizabeth Coddington of 21819 shares of Peloton Interactive subject to Rule 16b-3 [view details]
Peloton Interactive Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Peloton . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 532966.0 | |||
| Daily Balance Of Power | (0.41) | |||
| Rate Of Daily Change | 0.98 | |||
| Day Median Price | 3.09 | |||
| Day Typical Price | 3.08 | |||
| Price Action Indicator | (0.06) | |||
| Period Momentum Indicator | (0.07) |
About Peloton Interactive Buy or Sell Advice
When is the right time to buy or sell Peloton Interactive? Buying financial instruments such as Peloton Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Other Current Liabilities | 717.5M | 406.6M | 467.6M | 300.8M | Total Assets | 4.0B | 2.8B | 3.2B | 2.5B |
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In addition to having Peloton Interactive in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Check out Peloton Interactive Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. To learn how to invest in Peloton Stock, please use our How to Invest in Peloton Interactive guide.You can also try the Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.
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When running Peloton Interactive's price analysis, check to measure Peloton Interactive's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Peloton Interactive is operating at the current time. Most of Peloton Interactive's value examination focuses on studying past and present price action to predict the probability of Peloton Interactive's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Peloton Interactive's price. Additionally, you may evaluate how the addition of Peloton Interactive to your portfolios can decrease your overall portfolio volatility.
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Is Peloton Interactive's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Peloton Interactive. If investors know Peloton will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Peloton Interactive listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (2.44) | Revenue Per Share 7.656 | Quarterly Revenue Growth (0.06) | Return On Assets (0.12) | Return On Equity (8.47) |
The market value of Peloton Interactive is measured differently than its book value, which is the value of Peloton that is recorded on the company's balance sheet. Investors also form their own opinion of Peloton Interactive's value that differs from its market value or its book value, called intrinsic value, which is Peloton Interactive's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Peloton Interactive's market value can be influenced by many factors that don't directly affect Peloton Interactive's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Peloton Interactive's value and its price as these two are different measures arrived at by different means. Investors typically determine if Peloton Interactive is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Peloton Interactive's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.