Peloton’s Pandemic Boom-and-Bust

Peloton bet everything on a pandemic that would never end and lost 8 billion dollars in 18 months.

In 2020, locked down homes became their goldmine. Revenue exploded 172 percent.

They hired thousands, built a 400 million dollar factory, and convinced Wall Street they were

the future of fitness. Then gyms reopened. Sales collapsed 28 percent. The bikes nobody

wanted sat in warehouses while 2800 employees got fired. Their stock crashed from 167 dollars

to 6 dollars. They assumed temporary behavior was permanent demand. Netflix thrived

during lockdown but kept their costs flexible. Peloton expanded like the world would

never change. The lesson? Growth during crisis doesn't mean growth forever.