Peloton Interactive, Inc. (NASDAQ:PTON) surged 3.47% on Monday, hitting $6.27 per share, driven by optimism around increased consumer spending this holiday season and a price target raise by an analyst. Guggenheim Securities issued a “hold” rating and $9.80 price target on PTON stock. However, PTON’s holiday quarter revenue outlook is weak, with revenues expected to only increase by 0.2% year-on-year at the midpoint. Total revenues for the full year are projected to decline by 2% year-on-year at the midpoint. In Q1 of fiscal year 2026, PTON reported a net income of $13.9 million, a significant improvement from a net loss of $900,000 in the same period last year. Despite PTON’s performance, there are other AI stocks with greater potential for returns and less downside risk. Revenues for PTON dropped by 6% to $550.8 million from $586 million year-on-year, primarily due to lower product and subscription revenues.

Read more at Yahoo Finance: Peloton (PTON) Regains 3.5% on Holiday Pickup