3 Reasons Peloton Stock Isn't Going Down to $5
I guess this is going to be a seasonal thing now. Peloton (NASDAQ: PTON) grows, and Citron Research will argue that the high-end fitness specialist is going down to $5. Citron's Andrew Left put out a note late last week, arguing that Peloton will take an 80% hit as Apple (NASDAQ: AAPL) makes a play for the home-based workout market. Left originally suggested that Peloton stock was going to $5 three months ago.
Left offers Peloton as a top short in 2020, and with the stock down 22% year to date through Monday's close, it may seem like a smart call. However, the market has actually plummeted 26% in this young but brutal year. Peloton is a relative winner this year, and even during Monday's historic drop, Peloton was one of the few gainers with a head-turning 13% pop on the day. On Tuesday, it was tapped as a one of the best investing ideas by Wedbush analyst James Hardiman.
Different opinions are part of the investing process, so let's go into a few reasons why Peloton is unlikely to drop all the way to $5 this year.
Source Fool.com
