Peloton IPO 🚴‍♀️

Peloton just filed for their IPO

I have a feeling that theirs will be slightly better received that WeWork’s

but to add a little balance

there’s definitely a few hints of We in the filing too

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If they want to raise $500 million all they have to do is sell about 12 bikes and memberships, they’re not cheap. Only bitter because I’ve really wanted one for ages but can’t justify the cost :grin:

Health, fitness and general wellbeing is huge at the moment, I can see the IPO going really well for them.

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I’d be very wary of their IPO. It’s fitness, and they go through crazes and extreme hype cycles. People generally don’t seem to like exercising, so they jump onto the next bandwagon in search for something cool and new in the vain hope that it’ll be the magic bullet that will keep them going.

Who remembers Barre from 2005, Zumba in 2012, Spinning in 2013, cross-fit in 2017, HIIT in 2018, etc? Some of those have proven scientific benefits and are here to stay, but none of them have recovered the crazy lofty heights of the top of their hype cycle.

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The real question I ask myself here is what is their genuine long term competitive advantage? Great bikes? Network effect? Customer service?

What’s really unique about what they do that has such as a low churn rate by now?

Ultimately this feeds back into "Quality” and especially long term "return & profitability” which in my view, THE most important thing to think about for investing in an IPO, where the valuation is clearly irrelevant and momentum is clearly strong otherwise it won’t even bother IPOing itself.

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