Peloton is trying to defend its turf as gyms begin to more fully reopen around the country.
The home fitness company, which saw demand surge when stay-at-home orders were put in place back in March, announced Tuesday that is offering a lower priced stationary bike and treadmill and is introducing new versions of both.
The new bike has a price tag of just under $2500. The price on the current bike drops to just under $1900. Customers who paid full price for the older model in the past 30 days will get a $350 refund.
The new treadmill, which won’t be available until early next year, will be a cheaper version coming in for less than $2500. Peloton’s current model sells for over $4,000.
Peloton has a lot to prove. Last quarter it boosted revenue forecasts on expectations a shift away from traditional gyms would last. But as of last quarter, it was still losing money.
The stock has been a high-flyer….nearly tripling in value since the start of the year. Investors added to that on Tuesday with a 6 percent jump.