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Investing.com - Truist Securities has reiterated its Buy rating on Peloton Interactive (NASDAQ:PTON) stock, maintaining its $11.00 price target following a recent meeting with the company’s management. The stock, currently trading at $7.36, has experienced significant volatility, falling nearly 16% in the past week despite a strong 46% gain over the last six months, according to InvestingPro data.
The firm expressed optimism about Peloton’s future prospects, noting that last week’s new product launches and pricing announcements represent the most significant changes in the company’s history. Truist believes these strategic moves will help Peloton return to profitable revenue growth in the second half of fiscal year 2026.
Truist Securities acknowledged potential near-term challenges, including higher customer churn from price increases and reduced marketing efficiency in the second quarter of fiscal 2026. The company plans to increase marketing spending to drive awareness of its new offerings during this period.
Despite these short-term concerns, the research firm believes Peloton’s management has sufficient flexibility to meet or potentially exceed its fiscal year 2026 guidance. This confidence stems from the higher prices implemented across both subscription services and hardware products.
Truist also highlighted approximately $100 million in annualized cost savings recently announced by Peloton as a positive factor supporting the company’s financial outlook.
In other recent news, Peloton Interactive has announced several significant developments. The company partnered with Respin Health to study the impact of exercise on menopause, launching the PRESS initiative to explore how targeted workouts can alleviate symptoms like sleep disruption and energy fluctuations. This research will involve 500 participants and is expected to conclude in December, with results anticipated in January 2026. Additionally, Peloton unveiled its new AI-powered personal coaching platform, Peloton IQ, which integrates data from Garmin, Fitbit, and Apple Health to offer personalized training plans. This move prompted Canaccord Genuity to reiterate its Buy rating on Peloton, maintaining a $10 price target.
Telsey Advisory Group also responded positively to Peloton’s product upgrades, raising its price target to $9 while maintaining a Market Perform rating. The upgrades, part of Peloton’s "cross training series," include enhanced versions of its Bike, Bike+, Tread, Tread+, and Row+ models. Meanwhile, Goldman Sachs has reiterated its Buy rating and $11.50 price target, citing confidence in Peloton’s ongoing platform evolution. Lastly, Peloton introduced the Peloton Pro Series, a commercial equipment line featuring the Tread+ Pro, Bike+ Pro, and Row+ Pro, designed for use in hotels and corporate wellness centers.
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