Joe Raedle
Peloton Interactive (NASDAQ: PTON) ran up a 24.01% gains in Wednesday afternoon trading after FQ2 earnings came in above expectations.
CEO Barry McCarthy was scathing in a letter sent to shareholders that Peloton ( PTON ) can make an epic comeback this year.
In terms of numbers, gross related fitness subscription additions tracked ahead of expectations during the quarter, primarily driven by higher-than-expected demand from the North American bike portfolio during the Black Friday/Cyber Monday promotion, secondary market activations, growing demand for the bike rental program and faster deliveries before the end of the quarter. During the earnings conference call, Liz Coddington noted that the new rowing product also beat expectations.
On Wall Street, Needham analyst Bernie McTernan said Peloton ( PTON ) beat expectations across all connected fitness products in the quarter. McTernan believes the connected fitness business has strength for PTON post-pandemic and will provide the company with a content flywheel to drive revenue growth.
Shares of Peloton Interactive (PTON) traded at their highest level since May 2022 on volume 5X higher than normal activity.