Where Will Peloton Stock Be in 5 Years?
Sometimes a company's product is on the market at just the right time, and it takes off and becomes a fad. That's the rough backstory for Peloton Interactive (NASDAQ: PTON). The problem is that such fads eventually end, often leading to a rude awakening for the company and its shareholders.
This is where Peloton is today, with the stock off by more than 90% from its 2021 highs. And it's not clear that it has what it takes to remain a stand-alone company.
When the COVID-19 pandemic started to spread, governments around the world asked people to stay home and avoid social interactions. That's the perfect environment for an exercise bike that's sold online (for clarity, the company also has stores) and includes an interactive class component via a subscription service. In short, Peloton was perfectly positioned to benefit as the world went into hiding.
Source Fool.com
