Peloton Interactive (NASDAQ:PTON) shares are down 32% from Thursdays close after worse than expected fiscal first quarter results. According to pre-market trading data, shares are trading just below $58.
The results showed a net loss of $376m for the quarter. More worrying was the outlook for the future financial year, in what will likely see the stock coming under further pressure. Analysts are talking about the lack of demand as many return to normal life (with exercise outside or in a gym).
From our point of view, we still think the stock looks rich, considering the IPO was at $29. Therefore, we’d stay clear of the messy action today.