Why Peloton Stock Popped Today
Shares of Peloton Interactive (NASDAQ: PTON) jumped on Tuesday, following positive analyst commentary. As of 3 p.m. ET, Peloton's stock price was up more than 10%.
With its share price still down roughly 80% over the past year, Bernstein analyst Aneesha Sherman believes that many of the risks inherent in an investment in Peloton are now priced into its stock. Traders have bailed on the fitness equipment maker as its growth has stalled. But Sherman thinks the market has become too pessimistic in its view of Peloton, which is creating a profit opportunity for patient investors.
Sherman argues that Peloton's core business still has several attractive qualities, including a loyal and engaged user base, subscription-based recurring revenue, and an enormous market opportunity.
Source Fool.com
