Citi Cuts Peloton (PTON) PT to $8.25, Lowers Subscriber Forecast Following Rise in Customer Turnover

Peloton Interactive Inc. (NASDAQ:PTON) is one of the most promising stocks with huge upside potential. On November 20, Citi analyst Ronald Josey cut the price target on Peloton to $8.25 from $9.50 while keeping a Neutral rating on the shares after the company posted its FQ1 2026 earnings report. The firm also lowered its full-year subscriber forecast for Peloton by 3% due to a rise in customer turnover.

Peloton’s total revenue for FQ1 reached $551 million, comprising $152 million from Connected Fitness products and $398 million from subscription revenue. While this revenue was a decline of 6.01% year-over-year, it was still $9.72 million higher than Street estimates. The company’s EPS also surpassed guidance by $0.05 and totaled $0.06. Peloton’s full-year revenue guidance remains unchanged at $2.4 to $2.5 billion.

Citi Cuts Peloton (PTON) PT to $8.25, Lowers Subscriber Forecast Following Rise in Customer Turnover

The company’s Connected Fitness paid subscriptions totaled 2.732 million in the said quarter, which was a 6% decrease from the year-ago period due to challenges in maintaining subscriber growth. The average net monthly churn, however, improved to 1.6%, better by 0.2% year-over-year. Despite the subscription decrease, the company experienced a decline of 5% in Connected Fitness products revenue due to lower equipment sales and deliveries.

Peloton Interactive Inc. (NASDAQ:PTON) provides fitness and wellness products and services in North America and internationally. The company offers several connected fitness products, such as the Peloton Bike, Peloton Bike+, Peloton Tread, Peloton Tread+, and Peloton Row.

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Disclosure: None. This article is originally published at Insider Monkey.