- Peloton down by as much as 12% in the pre-market, as vaccine news could herald return to gyms and public exercise.
- Pfizer gains as much as 13% in the pre-market.
- Peloton had thrived during the pandemic with strong gains in its last quarterly report.
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Peloton shares fell by as much as 12% in pre-market trading on Monday, following drugmaker Pfizer’s announcement that its trial COVID vaccine had a 90% efficacy rate in preventing infection.
A number of “stay-at-home” stocks fell, while the likes of airlines and crude oil rallied sharply, given that a COVID vaccine could hit the bottom line of companies like Peloton, if consumers can safely return to public exercise spaces. Peloton fell as much as 12% before the opening bell, while Pfizer leapt 13% in pre-market trading on Monday after the drugmaker announced that its experimental COVID-19 vaccine succeeded in late-stage trials.
The exercise equipment company thrived during the coronavirus pandemic, as lockdowns and restrictions on exercise outside the home drove people to its premium bike and treadmill products after gyms were forced to close. The surge was realised in its tripled quarterly results in early November, when Peloton reported a fiscal first-quarter sales growth of 232%, surpassing both internal and Wall Street expectations.
This same sentiment was boosting the hard-hit gym sector in Europe too, with London-listed The Gym Group up 19.8% on Monday.