Peloton is trading now at $5.17 (-4.26%) after Morgan Stanley downgraded it to Underweight from Equalweight and cut its price target to $4.50 from $5.00, citing structural fitness headwinds.
- Customer additions collapsed roughly 78% from peak levels
- Connected-fitness subscriber growth was -9% year-over-year in fiscal 2026; Morgan Stanley expects pressure through fiscal 2029
- Broader markets were modestly weaker, but the company-specific downgrade is the primary catalyst