Peloton Posts Biggest-Ever Stock Wipeout After Forecast Cut
- Exercise-bike company cuts outlook by as much as $1 billion
- Company admits it underestimated impact of economy reopening
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Peloton Interactive Inc. shares plummeted the most ever after the company cut its annual revenue forecast by as much as $1 billion and lowered its projections for subscribers and profit margins.
The fitness company -- best known for its exercise bikes and remote classes -- now expects sales of $4.4 billion to $4.8 billion in fiscal 2022, which ends next June. Less than three months ago, it had been predicting revenue of $5.4 billion. On an earnings call with analysts, Peloton said it underestimated the impact of economic reopenings.