Peloton Slumps as Morgan Stanley Warns of Slowing Online Growth

  • Web traffic fell 27% in the quarter from a year ago, data show
  • Peloton stock was a pandemic darling, surging 430% in 2020

A Peloton stationary bike at a showroom in Dedham, Mass.

Photographer: Adam Glanzman/Bloomberg
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Peloton Interactive Inc. shares slipped 11.2% Wednesday, the largest drop since October, after Morgan Stanley said the fitness company’s web traffic has decelerated and may hinder future growth.

Peloton’s web traffic fell 27% in the fiscal third quarter from the same period a year ago as the company struggled to build on the momentum it saw in the previous quarter, when it ran heavy holiday promotions, analysts led by Lauren Schenk wrote in a note, citing Similarweb data.