Peloton Interactive, Inc. (PTON) Stock

Peloton Interactive, Inc. (PTON) is a Consumer Discretionary stock trading at $5.57 (as of 2026-08-20), with a market capitalization of $2.85B and a trailing P/E of 123.0. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Peloton Interactive offers connected fitness hardware and subscriptions that let users stream instructor-led live and on-demand workouts. Its product lineup includes the Peloton Bike, Bike+, Tread, and Tread+, along with access via its Peloton Digital app, sold to households across North America and internationally.

Understand Peloton Interactive, Inc.: how it makes money

Peloton sells connected fitness hardware (Peloton Bike, Bike+, Tread, and Tread+) plus ongoing access to live and on-demand fitness classes through subscriptions and its Peloton Digital app, which provides streaming class access to subscribers.

Peloton's profit model depends on keeping subscription users active (paid connected fitness subscriptions and app subscribers), because ongoing access to classes creates the recurring revenue stream, while hardware sales add non-recurring sales.

Business quality (Weak): Peloton pairs hardware sales with recurring subscriptions and has measurable operating indicators tied to subscriber counts, churn, and net adds, but the business also shows ongoing churn, including a net decrease in paid app subscriptions, which can pressure the recurring revenue base.

Valuation: At 95× earnings, PTON trades 152% above the Recreation average (38×). Note: one-time items can distort reported P/E.

Bull case

Recurring revenue is a core part of the model: Annualized Subscription Revenue is provided (1.7 USD_B), and Subscription Segment Revenue is also tracked (0.44 USD_B).
Subscriber base growth is visible in connected fitness: Paid Connected Fitness Subscriptions are 2,662,000 and Net Connected Fitness Subscription Adds are 75,000, supported by an Average Net Monthly Paid Connected Fitness Subscription Churn of 1.9%.

Bear case

App subscription momentum is weaker than connected fitness: Average Monthly Paid App Subscription Churn is 7.1%, and Net Decrease in Paid App Subscriptions is 12,000.
Recurring economics can be sensitive to churn: Both connected fitness and app businesses have stated churn rates (1.9% and 7.1%), meaning subscriber retention directly impacts the recurring revenue base.

Valuation — source: SEC EDGAR (first-party)
Price	$5.57
Market Cap	$2.85B
P/E Ratio	123.0
EV / EBITDA	17.2
Price / Sales	1.17
FCF Yield	14.1%
DCF Value (model)	$5.41
DCF Upside vs Price	-2.9%

Profitability & Growth — source: SEC EDGAR
Revenue (TTM)	$2.49B
Net Margin	-4.8%
Revenue Growth (YoY)	1.1%
EPS Growth (YoY)	-150.0%
FCF Growth (YoY)	59.1%

Financial Health — source: SEC EDGAR
Altman Z-Score	-1.70 (distress)
Piotroski F-Score	4/9 (moderate)

Valuation vs Sector & Industry
Stock P/E	123.0
Sector P/E (Consumer Discretionary)	20.5
Industry P/E (Recreation)	23.7
vs Sector	500.5%
vs Industry	418.8%

Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional Holder	VANGUARD GROUP INC ($241.64M)
Institutional Holders Tracked	10
Congressional Trades (recent)	10

Company
Sector	Consumer Discretionary
Industry	Recreation
CEO	Peter C. Stern
Employees	2,853
Country	US
IPO Date	2019-09-26

Related Companies (Business model: Consumer Hardware (incl. ecosystem services) + Consumer Subscription Content (Streaming, News, Audio); 8 closest by market cap; US-domiciled)

Data as of 2026-08-20.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.