Peloton had a disastrous 2021. But as impossible as it may seem, the exercise equipment company is arguably off to an even worse start to 2022.
Shares of the company are down nearly 25% this year and trading at their lowest level in nearly two years. The stock was up 12% Friday though after the company confirmed late Thursday that it may be looking to slow production and potentially lay off workers.
The news came after CNBC reported Peloton was considering pausing production of its low-end bike (which still costs $1,495) for two months. Peloton CEO John Foley, while not referring to CNBC specifically, categorized “rumors that we are halting all production of bikes and Treads” as “false.”
Peloton shares plunged more than 75% in 2021 as the once red-hot stock (it soared nearly 400% in 2020) spun out of control. The company has gone from being a pandemic-era stay-at-home darling to one that is constantly having to put out PR fires.