Peloton (NASDAQ:PTON) Stock Jumps on Amazon Distribution Partnership

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Peloton has inked a partnership with Amazon to broaden its distribution channels.

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he deal comes as the company is experiencing a revenue slowdown in recent quarters from the pandemic highs.

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Peloton Interactive (PTON) stock gained after the company partnered with Amazon (AMZN) to broaden the distribution channel of its fitness equipment.

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Under the terms of the agreement, the Peloton Bike Guide, select accessories, and apparel will now be available for purchase on Amazon U.S. stores.

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Peloton stock has shed nearly 60% of its market value year-to-date.

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According to CNBC, the underperformance stems from investors’ responses to a slowing in revenue growth from the pandemic highs.

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The deal with Amazon should allow Peloton to broaden its customer base and win back investors’ confidence.

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Prior to tapping the Amazon network for distribution, the fitness equipment was exclusively available through Peloton’s e-commerce site and global showrooms.

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The collaboration with the e-commerce heavyweight should allow the company to expand its distribution network and engage millions of Peloton’s members.

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