Traders Purchase High Volume of Call Options on Peloton Interactive (NASDAQ:PTON)

Peloton Interactive, Inc. (NASDAQ:PTON) was the target of some unusual options trading activity on Tuesday. Investors bought 49,577 call options on the company. This is an increase of 73% compared to the typical daily volume of 28,603 call options.

Wall Street Analyst Weigh In

PTON has been the subject of a number of recent research reports. Argus cut Peloton Interactive from a “buy” rating to a “hold” rating in a research report on Tuesday, February 10th. Bank of America set a $9.00 target price on Peloton Interactive in a report on Friday, January 30th. Morgan Stanley upped their price target on Peloton Interactive from $6.00 to $6.50 and gave the stock an “equal weight” rating in a research note on Wednesday, November 19th. JPMorgan Chase & Co. decreased their price target on Peloton Interactive from $9.00 to $6.00 and set a “neutral” rating for the company in a report on Friday, February 6th. Finally, Telsey Advisory Group lowered their price objective on shares of Peloton Interactive from $8.00 to $6.00 and set a “market perform” rating on the stock in a research report on Friday, February 6th. Seven equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $8.42.

Insiders Place Their Bets

In other news, CFO Elizabeth F. Coddington sold 238,013 shares of the company’s stock in a transaction dated Tuesday, February 17th. The shares were sold at an average price of $4.18, for a total value of $994,894.34. Following the completion of the sale, the chief financial officer directly owned 346,535 shares of the company’s stock, valued at approximately $1,448,516.30. This represents a 40.72% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Dion C. Sanders sold 146,844 shares of the stock in a transaction dated Friday, February 20th. The stock was sold at an average price of $4.41, for a total transaction of $647,582.04. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 988,473 shares of company stock worth $4,574,093. Corporate insiders own 1.30% of the company’s stock.

Institutional Trading of Peloton Interactive

Several institutional investors have recently modified their holdings of PTON. Sankala Group LLC acquired a new position in Peloton Interactive during the fourth quarter worth about $31,000. Alpine Global Management LLC acquired a new stake in Peloton Interactive in the 4th quarter valued at about $183,000. Pacer Advisors Inc. boosted its position in shares of Peloton Interactive by 17.3% during the 4th quarter. Pacer Advisors Inc. now owns 2,265,780 shares of the company’s stock valued at $13,957,000 after purchasing an additional 333,904 shares in the last quarter. Compound Planning Inc. acquired a new position in shares of Peloton Interactive in the 4th quarter worth approximately $67,000. Finally, Corient Private Wealth LLC raised its holdings in shares of Peloton Interactive by 44.9% in the 4th quarter. Corient Private Wealth LLC now owns 41,820 shares of the company’s stock worth $258,000 after purchasing an additional 12,967 shares in the last quarter. Institutional investors and hedge funds own 77.01% of the company’s stock.

Peloton Interactive Stock Up 7.6%

NASDAQ PTON traded up $0.29 on Tuesday, hitting $4.16. The stock had a trading volume of 7,757,838 shares, compared to its average volume of 13,094,399. The company’s 50-day moving average is $5.01 and its two-hundred day moving average is $6.46. Peloton Interactive has a one year low of $3.65 and a one year high of $9.20. The stock has a market cap of $1.77 billion, a price-to-earnings ratio of -32.19, a P/E/G ratio of 0.73 and a beta of 2.47.

Peloton Interactive (NASDAQ:PTON) last issued its quarterly earnings data on Thursday, February 5th. The company reported ($0.09) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.07) by ($0.02). Peloton Interactive’s revenue for the quarter was down 2.5% compared to the same quarter last year. During the same period last year, the company earned ($0.24) earnings per share. On average, sell-side analysts anticipate that Peloton Interactive will post -0.36 earnings per share for the current year.

Peloton Interactive Company Profile

Peloton Interactive, Inc operates a digital fitness platform that combines connected exercise equipment with live and on-demand workout classes. The company’s core products include stationary bikes (Peloton Bike and Bike+), treadmills (Peloton Tread and Tread+), and the Peloton Row. Each device integrates a touchscreen display that streams instructor-led cycling, running, strength, yoga, meditation and other fitness classes. Peloton generates recurring revenue through subscription plans, which grant users access to its growing library of workouts, performance tracking tools and community features.

Founded in 2012 by John Foley and headquartered in New York City, Peloton set out to deliver an immersive home-fitness experience by blending hardware, software and content.