Peloton (PTON) Reports Q1: Everything You Need To Know Ahead Of Earnings

Exercise equipment company Peloton (NASDAQ:PTON) will be reporting earnings tomorrow morning. Here's what to look for.

Peloton beat analysts' revenue expectations by 1.3% last quarter, reporting revenues of $743.6 million, down 6.2% year on year. It was a slower quarter for the company, with full-year revenue guidance missing analysts' expectations.

Is Peloton a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting Peloton's revenue to decline 4% year on year to $718.6 million, improving from the 22.3% decrease it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.33 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Peloton has missed Wall Street's revenue estimates four times over the last two years.

Looking at Peloton's peers in the consumer discretionary segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Brunswick's revenues decreased 21.7% year on year, meeting analysts' expectations, and Harley-Davidson reported a revenue decline of 3.3%, topping estimates by 28.4%. Brunswick traded down 5.8% following the results while Harley-Davidson was also down 11.9%.

Read our full analysis of Brunswick's results here and Harley-Davidson's results here.

Growth stocks have been quite volatile since the start of 2024, and while some of the consumer discretionary stocks have fared somewhat better, they have not been spared, with share prices down 5.9% on average over the last month. Peloton is down 21.7% during the same time and is heading into earnings with an average analyst price target of $5.8 (compared to the current share price of $3.18).

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