Peloton Interactive Q4 revenue flat, paid subscriptions fall

Peloton expects first-quarter fiscal 2027 revenue of $545 million to $565 million, up 0.8% year-over-year at the midpoint. The company also expects first-quarter fiscal 2027 gross margin of about 57%, up 550 basis points year-over-year.

For fiscal 2027, Peloton forecasts revenue of $2.3 billion to $2.4 billion, down 3.9% at the midpoint.

The company said improved cost structure and financial discipline contributed to its first full year of net profitability. It also said outperformance in equipment sales across Peloton and Precor brands helped drive full-year revenue above guidance.

Commercial Business Unit revenue grew double digits year-over-year in fiscal 2026.

The current average analyst rating on the shares is hold, with 9 strong buy or buy, 11 hold, and 1 sell or strong sell recommendation. The median 12-month price target is $8.00, about 22.7% above Peloton's August 5 closing price of $6.52. The stock recently traded at next 12-month earnings, versus a three months ago.