Peloton Interactive, Inc.

What does Peloton Interactive own?
Peloton Interactive owns the Peloton brand of connected fitness equipment and subscriptions, and the Precor brand of commercial fitness equipment. The company's product lineup includes the Peloton Bike, Bike+, Tread, Tread+, and Row, along with a digital subscription service for fitness classes. Peloton also operates production studios in New York City and London where it films its fitness content.

Is Peloton Interactive publicly traded?
Yes, Peloton Interactive is publicly traded on NASDAQ under ticker PTON. The company went public in September 2019, raising $1.16 billion at a valuation of $8.1 billion. Peloton has a dual-class share structure with Class A shares carrying one vote per share and Class B shares carrying 10 votes per share, with the latter held primarily by founders and early investors.

Who founded Peloton Interactive?
Peloton was founded in 2012 by John Foley, Hisao Kushi, Tom Cortese, Yony Feng, and Graham Stanton. Foley, a former Barnes and Noble e-commerce executive, came up with the idea after struggling to fit boutique cycling classes into his schedule. The team spent two years developing the first Peloton Bike before launching it in 2014.

Where is Peloton Interactive headquartered?
Peloton is headquartered in New York City, New York, USA. The company's corporate offices and primary content production studio are located in New York. Peloton also operates a production studio in London and has manufacturing partnerships in Taiwan and China, with some assembly operations in the United States through the Precor acquisition.

How many brands does Peloton Interactive own?
Peloton owns two brands: Peloton, its primary consumer brand for connected fitness equipment and subscriptions, and Precor, a commercial fitness equipment brand acquired in 2020 for $420 million. The company also operates a digital-only subscription tier that does not require Peloton hardware.

Who owns Peloton Interactive?
Peloton is a publicly traded company with a dispersed shareholder base. Major institutional investors include mutual funds and investment management firms. The company's founders and early investors retain some ownership through Class B shares with enhanced voting rights. No single shareholder holds a controlling stake. Peter Stern serves as CEO and President, and Sid Thacker serves as CFO.

What is Peloton Interactive's financial performance?
For fiscal year 2026 (ended June 30, 2026), Peloton reported total revenue of $2.45 billion and net income of $63.2 million, its first full year of profitability. Adjusted EBITDA was approximately $468 million, and free cash flow was $374 million. The company projects FY2027 revenue of $2.3 to $2.4 billion and adjusted EBITDA of $475 to $525 million.

Peloton was founded in 2012 by John Foley, a former Barnes and Noble e-commerce executive, along with Hisao Kushi, Tom Cortese, Yony Feng, and Graham Stanton. Foley's idea came from his frustration with the inconvenience of indoor cycling classes at boutique studios. He wanted to bring the studio experience into the home by combining a high-quality exercise bike with live-streamed instruction.

The company spent two years developing its first product. The original Peloton Bike launched in 2014, priced at $1,995 with a monthly subscription for class access. The bike featured a 21.5-inch touchscreen that streamed live cycling classes from Peloton's New York studio. This product created the connected fitness category.

Peloton raised venture capital from firms including Tiger Global, Fidelity, and TCV before its IPO. The company went public in September 2019 at $29 per share, raising $1.16 billion. The stock initially traded below its IPO price but surged during the COVID-19 pandemic as gyms closed and consumers sought home fitness solutions.

In December 2020, Peloton announced the acquisition of Precor, a commercial fitness equipment manufacturer, for $420 million. The deal closed in early 2021 and gave Peloton manufacturing capacity in the United States, along with an established commercial customer base. Peloton also launched the Peloton Tread treadmill and later the Peloton Row rowing machine.

2021 brought significant challenges. In March 2021, Peloton recalled its Tread+ treadmill after reports of injuries and a child death. The recall cost the company approximately $165 million and damaged its reputation. Supply chain issues also emerged as demand outpaced production capacity.

John Foley stepped down as CEO in February 2022 and was replaced by Barry McCarthy, a former Spotify and Netflix executive. McCarthy implemented a major restructuring plan that included layoffs of approximately 2,800 employees, or about 20% of the workforce at the time. He also shifted the company toward a subscription-first model and reduced inventory.

McCarthy resigned in 2024, and Peter Stern, a former Apple and Ford executive, became CEO. Stern has focused on operational discipline, gross margin expansion, and new revenue streams. Under his leadership, Peloton raised prices on hardware and subscriptions in late 2025, which contributed to the company's first profitable year in FY2026.

In 2026, Peloton announced a global partnership with Spotify and launched the Peloton Commercial Series, bringing its bikes and treadmills to commercial gyms for the first time. The company also launched Peloton IQ, an AI-powered feature that personalizes workout recommendations. For FY2027, Peloton projects revenue of $2.3 to $2.4 billion and adjusted EBITDA of $475 to $525 million.

Peloton faced a major product safety crisis in 2021. In March 2021, the company recalled approximately 125,000 Tread+ treadmills following reports of injuries and a child death. The US Consumer Product Safety Commission (CPSC) issued an urgent warning about the Tread+ after Peloton initially resisted a recall. Peloton eventually cooperated with the CPSC and recalled the product. The recall and associated costs totaled approximately $165 million. The company also recalled the cheaper Peloton Tread in the same period due to a touchscreen detachment issue.

In 2022, Peloton faced a class-action lawsuit from shareholders alleging that the company made misleading statements about demand and inventory levels during the pandemic. The lawsuit was filed in the US District Court for the Southern District of New York and alleged violations of federal securities laws. The case was dismissed in 2023, though plaintiffs appealed the dismissal.

Peloton has also faced scrutiny over its labor practices. In 2020, a report by BuzzFeed News raised concerns about working conditions at Peloton's New York studio, including allegations of favoritism and inadequate pay for instructors. Peloton responded by stating it reviewed compensation and workplace policies.