A Peloton bike is displayed at a Dick's Sporting Goods in Daly City, California (Justin Sullivan/Getty Images)

Peloton surges after revenue beat, continuing the stock’s march higher

Peloton is soaring Thursday morning after its first earnings report under new management.

2/6/25 9:09AM

Peloton shares spiked on Thursday after the company released an upbeat earnings report that has Wall Street hopeful that it’s inching back toward profitability.

The company made progress toward cutting costs and reducing its debt levels even as its revenue, which is now more from subscriptions than it is from selling bikes, continues to slip. The pandemic-era darling hasn't reported a profitable quarter since 2020.

Peloton reported revenue of $674 million for the quarter, compared to the $652 million analysts polled by FactSet were expecting. But the company posted a per-share loss of $0.24, worse than the $0.20 the Street was expecting.

The company also said it expects adjusted earnings before interest, taxes, depreciation, and amortization to total $70 million to $85 million in its next quarter, compared to the $52 million analysts expected.

The quarterly report is its first under new management. Peter Stern, a former Ford executive and the cofounder of Apple Fitness+, joined as CEO in January.

Peloton’s stock has been on the road to recovery of late. Remember: it was reported that private equity firms were circling the company for a potential takeover when it was near rock-bottom prices about nine months ago. Back then, the stock was at $3.54. This morning in the premarket, it’s trading at $8.99, which puts it up 19% on the morning and up 154% since the reports that PE was mulling a bid.

Max Knoblauch10/24/25

Premium seats help push airlines higher following third-quarter results

Shares of American Airlines are climbing toward the carrier’s best trading day since August 12, when ultra-budget rival Spirit issued its initial warning about its ability to survive. American’s shares are up more than 7% on Friday afternoon.

Investors’ optimism comes a day after American posted a better-than-expected full-year earnings forecast. In a call with investors, American said that it’s ramping up its premium cabin offerings.

“Our ability to grow capacity in premium markets will be further supported as we take delivery of new aircraft and reconfigure our existing fleet. These efforts will allow us to grow our premium seats at nearly two times the rate of main cabin seats,” CEO Robert Isom said. American CFO Devin May said that nose-to-tail retrofits of certain wide-body jets will bump the number of premium seats available on those planes by 25%.

Extra legroom has been a boon for major carriers, particularly this quarter. Delta Air Lines said its premium product revenue grew 9% in Q3, compared to a 4% drop in economy seat revenue. Similarly, United Airlines said its premium revenue grew 6%, outpacing economy. Shares of both airlines were up more than 3% on Friday.

Carriers with less exposure to first- and business-class tickets like Southwest Airlines and JetBlue didn’t see the same amount of momentum on the day.