March 3rd 2024 – The price of Peloton remains in a negative medium-term trend reports Trend Intelligence, as price action settled on Friday 1st March at $4.60, far from its $160+ all time high.
Trend’s Analysis (click chart to expand): Trend’s D* Momentum Indicator creates a clear visual representation of price trends that are in play across asset classes and financial instruments. In Peloton’s chart, Trend Intelligence reports a red (-D*) line exceeding (and diverting away from) a green (+D*) line. This is (and as historically shown to be) a negative trend signal. In addition to the use of the D* Momentum Indicator, price action currently remains below all 3 of Trend’s short, medium and long term moving averages and Trend’s pink shaded Japanese Cloud indicator. The combination of all stated indicators corroborate Trend’s negative medium-term trend rating on the stock, looking negative for weeks and months ahead.
Downside Sentiment: Shares of Peloton fell by close to 25% in February 2024 after the group cut back its sales forecast amid slowing demand for its high-end equipment according to The Guardian. Adjusted losses were estimated to widen, from $18.7m to as much as $30m.
Upside Sentiment: Peloton’s new chief executive, Barry McCarthy has reduced its global workforce from 9,000 to 4,000 and has outsourced hardware production and fulfilment. Peloton also now sells used bikes and is developing new partnerships with third-party retailers according to the Financial Times.
Authored by: Trend Intelligence, London
