Home Markets Peloton shares sink as at-home exercise falls out of favor

Peloton shares sink as at-home exercise falls out of favor

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A Peloton exercise bike is seen after the ringing of the opening bell for the company’s IPO at the Nasdaq Market site in New York City, September 26, 2019. REUTERS/Shannon Stapleton/File Photo

Nov 4 (Reuters) – Peloton Interactive Inc (PTON.O) on Thursday slashed its full-year sales forecast by up to $1 billion, saying demand for its exercise bikes and treadmills was slowing faster than expected as people return to pre-pandemic habits.

Its shares dove 31% in extended trading, on course to wipe off about $8 billion from the market value of a company that was among the biggest corporate winners of last year’s lockdowns.

“It is clear that we underestimated the reopening impact on our company and the overall industry,” Chief Financial Officer Jill Woodworth said on a post-earnings call.

Peloton now expects annual sales between $4.4 billion and $4.8 billion, compared with $5.4 billion previously. Its holiday-quarter sales forecast also missed market…

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