Peloton was founded in 2012 and experienced a surge in popularity throughout the years. A standard bike costs $2,100 initially and $500 every year after. They are well known for their fitness products, being sleek, and technologically advanced. The brand started out with a fitness bike and moved onto treadmills, etc. People love the brand because it’s based on complete convenience. Peloton users, pay for a membership for their bike and that membership includes qualified trainers that will work members through a “high-intensity” spin class. It essentially provides spin classes that people have to go to a studio to take and offers it in the convenience of people’s homes. It became immensely popular throughout the years because a lot of celebrities would use their products and would promote them on their social media, making them trendy.
Peloton’s stock was steady throughout the years but this year it’s taken quite a hit for an unexpected reason. One of the Peloton bikes was featured on the “Sex and the City” reboot where one of the characters Mr. Big had a heart attack while riding one of the Peloton bikes. The stock dropped almost immediately when it was released by 11%. Then another show, “Billions,” recently released an episode where Mike Wagner experienced a heart attack while riding one of the bikes as well. This caused the company to lose stock even more. The stock hasn’t been doing too well in the past two years and with these fictitious characters almost dying because of the bikes, the stocks had plummeted 24% within the last week. There were rumors that the CEO had ultimately made the decision to halt production, but he recently came out with a statement stating that they have no plans on stopping production any time soon. They also released another statement saying that they never gave “Billions” production company permission to use their bikes.
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