Less than three months after the infamous holiday commercial wiped out $1 billion in Peloton’s market value, the company’s stock is bouncing back – along with the makers of toilet paper and canned goods – amid Covid-19 lockdowns.
The makers of pricey stationary exercise bikes – and the subscription workout program that comes with them – fell on their face back in December, when their holiday commercial intended to be cute was denounced as misogynist, fat-shaming, sexist and creepy. Peloton offered a groveling apology and removed the video after their stock took a dive amid the rancor.
Also on rt.com Boom Bust investigates how one ad could wipe out $1 billion of Peloton stockFast-forward to mid-March, and Peloton is one of the few stocks actually going up during the Covid-19 pandemic, as Americans stuck at home as a result of lockdowns and quarantines look for something to do. The markets are crashing and burning as supply chains are disrupted and panicked investors sell off their holdings, but Peloton has held out strong, seeing its stock price rally by more than 12 percent on Monday.
The fitness gear company is far from the only one reaping a windfall as millions are holed up at home waiting out the pandemic. With toilet paper inventories nearly wiped clean in some cities after fits of panic buying, the Kimberly-Clark Corporation – maker of several well known toilet paper brands, among other personal hygiene goods – has seen major gains over the last week. Clorox has enjoyed a surge in business, too, with the virus scare driving some to douse everything in sight with the company’s disinfectants.
Seeing as bleach and toilet paper cannot be eaten … yet, producers of canned and frozen foods have also seen sales take off amid the lockdowns.
Apparently realizing what good the virus has done for business, Peloton made its fitness app free for the next 30 days, inviting consumers to find a “supportive community” among fellow health nuts as they fend off cabin fever together en masse.
With netizens stuck indoors without much to do – besides exercise, of course – some used their extra free time in the most productive way possible, devising a brand new conspiracy theory that connects the dots between Peloton and the coronavirus outbreak. What do they know, and what are they hiding from us?
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Source : RT - Daily news
‘Unwoke’ Peloton stock now roaring back as Americans go stir crazy in coronavirus lockdown
‘Unwoke’ Peloton stock now roaring back as Americans go stir crazy in coronavirus lockdown
