Why Peloton Stock Tumbled on Thursday
Peloton Interactive (NASDAQ: PTON), which has had significant struggles of late, took a nearly 4% blow to its share price on Thursday. Investors were clearly concerned about media reports regarding a potential new business model for the company.
Thursday morning, The Wall Street Journal reported that management is considering an alternate pricing system for Peloton's offerings. Under the new system, customers would pay a monthly fee that covers the cost of both a Peloton stationary bike and a subscription to the company's many remote video-exercise classes. The customer has the option of canceling anytime, free of charge.
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Source Fool.com
