PLNT - Why Peloton Won't Kill Planet Fitness' Business
This has been an excruciating year for Planet Fitness (NYSE: PLNT). The COVID-19 pandemic closed gyms around the world and, since these weren't deemed essential business, they've been slow to reopen. In the second quarter of 2020, it reported a net loss of $29 million on a paltry $40 million in revenue, both figures drastically down from pre-COVID levels.
Planet Fitness is limping, but Peloton (NASDAQ: PTON) is sprinting. In fact, the overall exercise-at-home space has surged, leading some investors to believe this trend will disrupt the "outdated" gym model. However, here's why Peloton won't kill Planet Fitness' business.
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