RT.com
21 Jan 2022, 23:43 GMT+10
Netflix and Peloton shares are poised to lose gains made over the last two years
Stock prices of lockdown-era favorites Netflix and Peloton nosedived on Thursday, in a latest sign that the boom for stay-at-home shares appears to be vanishing.
Peloton shares plunged 24%, wiping off nearly $2.5 billion in market value, after the exercise bike maker's CEO said it was reviewing the size of its workforce and "resetting" production levels.
Data from S3 Partners shows short-sellers doubled their profits by betting against Peloton in 2021, the third-best returning US short.
Shares in streaming giant Netflix also plummeted nearly 20%, as the company forecast new subscriber growth in the first quarter would be less than half of analysts' predictions. It also expects to add just 2.5 million users in the current quarter, well short of estimates.
Netflix CEO Reed Hastings said there were a myriad of reasons for the company's low guidance, pointing to increased competition as a cause.
The two firms are the latest darlings of 2020 to sink to levels not seen since the early days of the Covid-19 outbreak. Others, such as Zoom video conferencing software and the e-signature company Docusign, have also suffered downward revaluation of their stocks.
"With a return to the office and travel lanes opening, darlings of the WFH (work from home) thematic are reflecting the growing reality that the world is moving slowly but with certainty towards a new normalcy," Justin Tang, head of Asian research at United First Partners in Singapore, was quoted as saying by Reuters.
For more stories on economy & finance visit RT's business section
(RT.com)
Get a daily dose of Poland Sun news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Poland Sun.
More InformationDUBLIN, Ireland: Nearly 500 children who had hip surgery at two Dublin hospitals between 2021 and 2023 may need to be recalled for...
BRUSSELS, Belgium: U.S. drugmakers are charging significantly more for new treatments, particularly those targeting rare diseases,...
WASHINGTON, DC - U.S. President Donald Trump re-ignited his trade war on Friday with an extraordinary attack on the European Union...
DUBLIN, Ireland: The number of people employed in social media companies in Ireland has dropped by 11 percent since 2022, according...
DUBLIN, Ireland: Farmers and co-op leaders gathered outside the European Commission offices in Dublin this week, voicing opposition...
DUBLIN, Ireland: Ryanair is forecasting a rebound in fares this summer as consumer demand recovers from the impact of high interest...
WASHINGTON, D.C.: The U.S. Army plans to change the records of transgender soldiers to list only their sex at birth, according to a...
WASHINGTON, D.C.: The Federal Aviation Administration (FAA) said this week that it will require airlines to reduce the number of flights...
GAZA - The home of a doctor working in the emergency room at the Nasser Medical Complex in southern Gaza was struck by Israel Air...
ORLANDO, Florida: For years, Universal Orlando played second fiddle to Disney's sprawling empire in Central Florida. Now, with the...
WASHINGTON, D.C.: The U.S. Transportation Department is expected to say that fuel economy rules created under President Joe Biden went...
WASHINGTON, D.C.: The U.S. Justice Department is investigating Andrew Cuomo, the former governor of New York and a top candidate for...