Earnings Play: Peloton Interactive

Peloton's expected move is 16.5%.

New Highs 2

On Thursday, after market, Peloton Interactive (PTON) is anticipated to report fourth quarter EPS of $0.12 compared to an LPS of $1.88 a year ago on revenue of approximately $581.1 million vs. $223.3 million last year. The company operates an interactive fitness platform and its expected move based on front-month options is 16.5%. The last time the company reported earnings it spiked 16.0%.    

Looking at a daily chart, Peloton's stock price has been in an uptrend since mid-March. The RSI is bullish and sitting just below overbought territory at roughly 68. After price broke out above its 72.00 resistance level on August 28th, it has been making huge price swings and made a record high of 92.50 on September 2nd. Given that the trend is still bullish and that the RSI is bullish, price will likely breakout above its 92.50 high and advance towards its first Fibonacci target of about 112.75. However, if price pulls back to its 72.00 level, traders should look for a possible bounce. If price cannot manage to hold above its 72.00 support level, it would be a bearish signal and price could potentially fall further to 62.50. If price reaches its second support of 62.50, it could be signaling the beginning of a new downtrend.   



Source: GAIN Capital, TradingView

More from Earnings

From time to time, GAIN Capital Australia Pty Ltd (“we”, “our”) website may contain links to other sites and/or resources provided by third parties. These links and/or resources are provided for your information only and we have no control over the contents of those materials, and in no way endorse their content. Any analysis, opinion, commentary or research-based material on our website is for information and educational purposes only and is not, in any circumstances, intended to be an offer, recommendation or solicitation to buy or sell. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. No representation or warranty is made, express or implied, that the materials on our website are complete or accurate. We are not under any obligation to update any such material.

As such, we (and/or our associated companies) will not be responsible or liable for any loss or damage incurred by you or any third party arising out of, or in connection with, any use of the information on our website (other than with regards to any duty or liability that we are unable to limit or exclude by law or under the applicable regulatory system) and any such liability is hereby expressly disclaimed.