The news caused Peloton shares to plunge as much as 24%—with trading temporarily halted—before the stock pared back losses somewhat, down 18% as of 1:30 p.m. EST.
The company will halt Bike production for two months—from February to March—and will also suspend production of its treadmills for six weeks starting in February, according to internal documents reviewed by CNBC. The company reportedly said that demand for its at-home fitness equipment has seen a “significant reduction” around the world, with Peloton evidently having underestimated how many people would still be buying its products after pandemic lockdowns ended.
The at-home fitness equipment maker now reportedly has a large inventory—with thousands of Bikes and treadmills—that it is struggling to offload.With its stock tanking on Thursday, Peloton now has a market capitalization of around $8 billion. That’s down from a peak of $50 billion in January 2021. Peloton was once considered a pandemic-era stock market darling amid high demand from customers stuck at home during lockdowns—and shares skyrocketed roughly 440% in 2020.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Peloton insiders sold nearly $500 million in stock before its big dropPeloton executives and insiders sold nearly $500 million worth of their stock before the shares tanked, according to filings with the SEC. That’s the American way! Only thing that is surprising is that they weren’t members of Congress! I hope they all go to jail for the pump and dump. Good. Golden parachutes deploring on time.
Source: NBCNews - 🏆 10. / 86 Read more »
Little Village YMCA offering free admission for 2022The Rauner Family YMCA in Chicago's Little Village is offering free admission for 2022.
Source: ABC7Chicago - 🏆 284. / 63 Read more »
Peloton Insiders Sold Nearly $500 Million in Stock Before Its Big Drop, SEC Filings ShowThe wave of insider selling started when the stock surged past $80 in the fall of 2020, and gained momentum in 2021 as it held above $100, SEC filings show. 👌🌹 robtfrank They didn’t go woke enough? robtfrank Senators and Representatives?
Source: nbcchicago - 🏆 545. / 51 Read more »
Pratt & Whitney’s Geared Turbofan Is Emerging From The Global Pandemic With A Growing Performance AdvantagePratt's premier commercial product is well-positioned as air travel begins returning to pre-pandemic levels.
Source: Forbes - 🏆 394. / 53 Read more »
Nvidia reportedly halts production of RTX 3090 Ti graphics card | Digital TrendsNvidia just recently announced its new powerhouse of a graphics card, the RTX 3090 Ti. However, it now seems that the production of the GPU may be on hold.
Source: DigitalTrends - 🏆 95. / 65 Read more »
Microsoft’s nearly $70 billion deal for Activision Blizzard is largest of the pandemicMicrosoft Corp. is spending $69 billion on the biggest cash-funded takeover since the start of the coronavirus pandemic with its purchase of Activision... *$75 billion.
Source: dallasnews - 🏆 18. / 71 Read more »