Peloton Q2 revenue misses analyst expectations on few membership additions

Peloton Interactive

05/02/2026 12:07

Overview

Fitness equipment maker's Q2 revenue fell 3% yr/yr, missing analyst expectations

Adjusted EBITDA for Q2 rose 39% yr/yr, exceeding guidance

Company launched Peloton Cross Training Series and expanded commercial unit

Outlook

Peloton raises full-year FY2026 adjusted EBITDA guidance to $450 - $500 mln

Company expects Q3 FY26 revenue between $605 mln and $625 mln

Peloton forecasts Q3 FY26 gross margin of approximately 54%

Result Drivers

SUBSCRIPTION CHURN - Better-than-expected churn rates following membership price increases, partially offset by lower gross additions

CROSS TRAINING SERIES - Introduction of Peloton Cross Training Series with advanced features received positive reviews

COMMERCIAL UNIT GROWTH - Integrated Commercial Business Unit achieved double-digit revenue growth year-over-year

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Miss
$656.50 mln
$674.25 mln (15 Analysts)
Q2 EPS
-$0.09
Q2 Gross Margin
50.50%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 9 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the recreational products peer group is "buy"

Wall Street's median 12-month price target for Peloton Interactive Inc is $9.60, about 62.4% above its February 4 closing price of $5.91

The stock recently traded at 33 times the next 12-month earnings vs. a P/E of 95 three months ago

Press Release: ID:nGNX6syGCY

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)