Bernstein analyst Aneesha Sherman raised the firm’s price target on Peloton (PTON) to $6.50 from $4.25 and keeps a Market Perform rating on the shares. Efforts to right-size the cost base and improve unit economics have paid off, with Peloton delivering margins and free cash flow ahead of Street and internal expectations, the analyst tells investors in a research note. Incoming CEO Peter Stern is set to inherit a stable and free cash flow-positive business with a much leaner cost structure, and he will need to lay out a strategy for a return to sustainable long-term growth when he comes on board next year, the firm says.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
See Insiders’ Hot Stocks on TipRanks >>
Read More on PTON:
- Peloton price target raised to $8 from $4.75 at Baird
- Peloton price target raised to $6.50 from $4.25 at Bernstein
- Peloton’s Earnings Reflect Strong Cost Management and Growth
- Peloton Interactive Appoints New CEO for Strategic Growth
- Mayville Engineering to receive $25.5M settlement agreement
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
