Peloton (PTON) – Spinning to Gains – November 19th, 2020

The bullish DailyPlay for Wednesday, November 18th is Peloton (PTON). PTON has experienced a 22% decline over the past month but has now reached a major support level and will likely hold the $100 support. 

Fundamental View

  • First-mover advantage into interactive fitness has allowed PTON to grow a loyal following with over 92% subscription rates. 
  • Very low monthly churn rate of 0.6% and high subscription margin of 63%
  • Earnings: Feb 3rd (77 Days)

Technical View

  • A pullback to an area of support provides a good opportunity for a long position
  • Approaching oversold territory
  • Very strong relative strength, technical score (10 out of 10)