Over 2 Years Ago
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PTON reports earnings next week. A closer look at what's happening:
Peloton Interactive Inc (PTON) is reporting earnings on Thursday. Lets focus in on how the stock is performing.
A consensus of analyst reports suggests Peloton Interactive Inc will report an EPS (earnings per share) -$.072 in its fiscal fourth quarter, slightly wider than the 71 cents per share it lost in the year-ago period. Revenue is forecast to fall 22.9% year-over-year (YoY) to $722.2 million.
A consensus of analyst reports suggests Peloton Interactive Inc will report an EPS (earnings per share) -$.072 in its fiscal fourth quarter, slightly wider than the 71 cents per share it lost in the year-ago period. Revenue is forecast to fall 22.9% year-over-year (YoY) to $722.2 million.
- Peloton was a pandemic superstar, as gym lockdowns ramped up demand for its at-home exercise equipment – and sent shares soaring from roughly $18 per share in March 2020 to north of $160 by December of that same year
- However, demand has stalled and PTON stock has suffered. Year-to-date, shares are off nearly 65%
- While PTON did jump more than 50% from late-July through mid-August, the selling has ramped up again ahead of earnings. Most analysts see a sharp rebound ahead for Peloton.
PTON bulls will be waiting to hear three things. The first is that the reported EPS beat the estimates of analysts. The stock will move on that news. The second is that the company is also reporting higher than expected revenues. Third, the company paints a picture of growth that guides analysts to a future of strong growth. If these three things happen, the share price should react positively.
PTON bears will be listening for news that the company underperformed the analysts' estimates. After that they'll want to hear about a negative growth story that frames the company's future as one of deceleration or even decline in revenues over the following quarters
If you haven't traded too many earnings reports, it's important to be aware that sometimes the majority of a stock's price movement can be caused by the analysts' estimates, rather than from the earnings report itself. As you see more of these, your ability to recognize one or the other will improve.
Share price moves can have an impact on existing shareholder sentiment. As of August 17 shares of PTON are trading at $13.69. Over the last 52-week period, the price is down -88.65%.
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