Peloton Interactive Valuation
| PTON Stock | USD 5.59 0.14 2.44% |
At this time, the company appears to be overvalued. Peloton Interactive holds a recent Real Value of $4.7 per share. The prevailing price of the company is $5.59. Our model determines the value of Peloton Interactive from analyzing the company fundamentals such as Operating Margin of 0.1 %, shares outstanding of 401.97 M, and Return On Equity of -8.47 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Peloton Interactive's valuation include:
Overvalued
Today
Please note that Peloton Interactive's price fluctuation is moderately volatile at this time. Calculation of the real value of Peloton Interactive is based on 3 months time horizon. Increasing Peloton Interactive's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Peloton Interactive is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Peloton Stock. However, Peloton Interactive's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 5.59 | Real 4.7 | Target 10.24 | Hype 5.59 | Naive 5.31 |
The intrinsic value of Peloton Interactive's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Peloton Interactive's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Peloton Interactive helps investors to forecast how Peloton stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Peloton Interactive more accurately as focusing exclusively on Peloton Interactive's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Peloton Interactive's intrinsic value based on its ongoing forecasts of Peloton Interactive's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Peloton Interactive's closest peers.
Peloton Interactive Cash |
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Peloton Revenue by Product
Peloton Interactive Total Value Analysis
Peloton Interactive is at this time estimated to have valuation of 3.25 B with market capitalization of 2.41 B, debt of 1.98 B, and cash on hands of 1.25 B. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Peloton Interactive fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
3.25 B | 2.41 B | 1.98 B | 1.25 B |
Peloton Interactive Investor Information
About 94.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 0.05. Peloton Interactive recorded a loss per share of 0.27. The entity had not issued any dividends in recent years. Based on the measurements of operating efficiency obtained from Peloton Interactive's historical financial statements, Peloton Interactive may be sliding down financialy. It has an above-average probability of going through some form of financial hardship next quarter.Peloton Interactive Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Peloton Interactive has an asset utilization ratio of 117.2 percent. This suggests that the Company is making $1.17 for each dollar of assets. An increasing asset utilization means that Peloton Interactive is more efficient with each dollar of assets it utilizes for everyday operations.Peloton Interactive Profitability Analysis
Based on the measurements of profitability obtained from Peloton Interactive's financial statements, Peloton Interactive may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in March. Profitability indicators assess Peloton Interactive's ability to earn profits and add value for shareholders.Net Loss | First Reported 2018-03-31 | Previous Quarter 21.6 M | Current Value 13.9 M | Quarterly Volatility 274 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.31 | 0.46 |
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For Peloton Interactive profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Peloton Interactive to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Peloton Interactive utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Peloton Interactive's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Peloton Interactive over time as well as its relative position and ranking within its peers.
Peloton Interactive Earnings per Share Projection vs Actual
By analyzing Peloton Interactive's earnings estimates, investors can diagnose different trends across Peloton Interactive's analyst sentiment over time as well as compare current EPS estimates against different timeframes. Please be aware that the consensus of earnings estimates for Peloton Interactive is based on EPS before non-recurring items and includes expenses related to employee stock options.Peloton Interactive Ownership Allocation
Peloton Interactive owns a total of 401.97 Million outstanding shares. The majority of Peloton Interactive outstanding shares are owned by third-party entities. These institutional holders are usually referred to as non-private investors looking to secure positions in Peloton Interactive to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Peloton Interactive. Please pay attention to any change in the institutional holdings of Peloton Interactive as this could imply that something significant has changed or is about to change at the company. On June 21, 2023, Representative James E Hon Banks of US Congress acquired under $15k worth of Peloton Interactive's common stock.Peloton Interactive Profitability Analysis
The company reported the previous year's revenue of 2.49 B. Net Loss for the year was (118.9 M) with profit before overhead, payroll, taxes, and interest of 1.25 B.About Peloton Interactive Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Peloton Interactive. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Peloton Interactive based exclusively on its fundamental and basic technical indicators. By analyzing Peloton Interactive's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Peloton Interactive's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Peloton Interactive. We calculate exposure to Peloton Interactive's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Peloton Interactive's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 1.5 B | 860.5 M | |
| Pretax Profit Margin | (0.05) | (0.06) | |
| Operating Profit Margin | (0.02) | (0.02) | |
| Net Loss | (0.05) | (0.06) | |
| Gross Profit Margin | 0.46 | 0.31 |
Peloton Interactive Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 390 M | |
| Forward Price Earnings | 10.3306 |
Peloton Interactive Current Valuation Indicators
Peloton Interactive's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Peloton Interactive's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Peloton Interactive, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Peloton Interactive's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Peloton Interactive's worth.When determining whether Peloton Interactive offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Peloton Interactive's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Peloton Interactive Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Peloton Interactive Stock: Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Peloton Interactive. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in persons. To learn how to invest in Peloton Stock, please use our How to Invest in Peloton Interactive guide.You can also try the Portfolio Anywhere module to track or share privately all of your investments from the convenience of any device.
Will Leisure Products sector continue expanding? Could Peloton diversify its offerings? Factors like these will boost the valuation of Peloton Interactive. Anticipated expansion of Peloton directly elevates investor willingness to pay premium valuations. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every Peloton Interactive data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Earnings Share (0.27) | Revenue Per Share | Quarterly Revenue Growth (0.06) | Return On Assets | Return On Equity |
Investors evaluate Peloton Interactive using market value (trading price) and book value (balance sheet equity), each telling a different story. Calculating Peloton Interactive's intrinsic value—the estimated true worth—helps identify when the stock trades at a discount or premium to fair value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. External factors like market trends, sector rotation, and investor psychology can cause Peloton Interactive's market price to deviate significantly from intrinsic value.
It's important to distinguish between Peloton Interactive's intrinsic value and market price, which are calculated using different methodologies. Investment decisions regarding Peloton Interactive should consider multiple factors including financial performance, growth metrics, competitive position, and professional analysis. Conversely, Peloton Interactive's market price signifies the transaction level at which participants voluntarily complete trades.