Peloton Stock Rises After Fitness Company Reports Strong Results and Names New CEO

Shares of fitness company Peloton Interactive (PTON) rose 22% in premarket trading on Thursday after first-quarter results beat analysts' estimates and the company named Ford executive Peter Stern as its new chief executive officer (CEO) and president.

Peloton reported a net loss of just $1 million, an improvement of $158 million year-over-year and much smaller than the $51.7 million loss expected by analysts surveyed by Visible Alpha. Sales of $586.0 million also exceeded forecasts.

Stern, who currently serves as president of Ford Integrated Services and was previously an executive at Apple (AAPL), will begin his new duties on January 1, 2025.

“Peter is an experienced strategist with a track record of driving sustainable growth through innovation, and we have great confidence in his ability to lead Peloton during this important time,” said Peloton Chairman Jay Hoag. “He brings extensive expertise in scaling differentiated technology-driven platforms and a deep understanding of the health and wellness sector – making him a unique fit for the role of Peloton’s next CEO.”

Peloton had been looking for a CEO since May

In May, Peloton announced that Barry McCarthy was stepping down as CEO and that its board had “initiated an extensive search process” to find its next leader.

As of Wednesday's close, Peloton shares were up about 9% year-over-year.