14 Best Growth Stocks Under $10 to Buy Right Now

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4. Peloton Interactive, Inc. (NASDAQ:PTON)

Stock price as of May 2nd: $6.82

Revenue CAGR last 5 years: 36.70%

Number of Hedge Fund Holders: 49

Peloton Interactive, Inc. (NASDAQ:PTON) is a global fitness technology company offering internet-connected exercise equipment such as bikes, treadmills, rowers, and other equipment, which stream live and on-demand fitness classes through a subscription service. The company’s competitive advantage is based on serving a subcategory of sports lovers who are tech-savvy and prefer smart workouts at home. PTON also provides a digital app that offers paid access to various workout classes, which makes it easier to train at home without fitness coaches.

Peloton Interactive, Inc. (NASDAQ:PTON) demonstrated strong financial improvements in Q2 2025, with Connected Fitness Products’ gross margin reaching 12.9%, marking the first double-digit margin in over three years. The company achieved meaningful profitability improvements with both adjusted EBITDA and free cash flow increasing by approximately $140 million YoY. Net debt decreased by over $280 million or 30% YoY, showing significant progress in deleveraging the balance sheet.

Peloton Interactive, Inc. (NASDAQ:PTON) demonstrated strong member engagement with over 2 million unique members completing Strength training, bootcamp, Pilates, or yoga workouts in Q2. Member satisfaction improved significantly with Net Promoter Scores exceeding 70 across all Bike and Tread products. The company maintained exceptionally low churn rates with an average net monthly Paid Connected Fitness Subscription churn of 1.4% in Q2, while subscription retention showed particular strength among members engaging in multiple disciplines, with 60% lower churn for those using two or more disciplines per month. PTON has significantly outperformed the broad market in the last 12 months, which, coupled with a strong double-digit revenue growth momentum, makes it one of the best growth stocks under $10 to buy right now.

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