Home / Business / Peloton still buys on BofA Securities, as the report on Apple’s rival app should have “limited effect”

Peloton still buys on BofA Securities, as the report on Apple’s rival app should have “limited effect”



Shares of Peloton Interactive Inc. PTON,
-1.85%
fell 0.7% in afternoon trading, after rising 2.1% on Thursday, as BofA securities analyst Justin Post reiterated its bullish stance on the home equity firm, assuring investors not to be too worried about a Bloomberg report like Apple Inc. AAPL,
-0.75%
planned to launch a competing fitness app. “We believe Apple̵

7;s new fitness app may compete with Peloton’s only single subscription offer (although we expect first class selection and libraries to be inferior), but will have a limited impact on Peloton’s affiliated fitness base using Peloton’s bike or treadmill,” he said. Post wrote in a note to customers. “We note that Peloton’s revenue from digital subscriptions was only 1% of total revenue from [fiscal]3Q, with the largest value of digital subscribers as a potential conversion to connected fitness subscribers. “He kept his buy rating and his stock price target of $ 72, which is 10.4% above today’s levels. On Thursday, after the Bloomberg report came out, the stock initially fell as much as 2.9% intraday before bouncing to On Friday, the stock was up as much as 3.1% earlier in the session, before the price reversed.The stock has more than doubled (up 129.7%) years so far, while the S&P 500 SPX,
-0.22%
has thanked 4.5%.


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