Peloton's potential suitors: Amazon, Nike, Apple, Disney or Sony?

Peloton shares have lost over 80% of their value during the past 12 months

Peloton CEO John Foley will step down as CEO, moving to role of Executive Chair and will be replaced by Barry McCarthy, as the embattled cycling giant struggles to turn around its business. 

Ticker Security Last Change Change %
PTON PELOTON INTERACTIVE INC. 14.51 +0.61 +4.39%

Peloton shares fell in the pre-market Tuesday after surging more than 20% the prior day as rumors of growing interest in a potential acquisition of the fitness giant swirl.

STOCKS TICK HIGHER, PELOTON, SPIRIT AIRLINES LIFT OFF

Peloton investor Blackwells Capital sent a letter to the company's board of directors on Jan. 24 urging them to fire Foley and consider a sale. 

  (Kristoffer Tripplaar/Sipa USA /Peloton.com)

The firm's list of potential Peloton suitors it would like to see the company sold off to include Apple, Disney, Nike and Sony. 

"Given the mess that Peloton has become as an independent company, we are convinced that one or more of these strategic acquirers could provide significantly more value, with substantially less risk, than Peloton is likely to generate for its shareholders on its own," Blackwells Capital wrote. "The Board should immediately begin to explore these strategic alternatives and find a proper owner of Peloton who can make the most of its coveted employees, customer base, technology, and brand."

Ticker Security Last Change Change %
AMZN AMAZON.COM INC. 2,302.93 +81.38 +3.66%
AAPL APPLE INC. 149.64 +5.86 +4.08%
DIS THE WALT DISNEY CO. 109.32 +3.71 +3.51%
NKE NIKE INC. 115.99 +3.05 +2.70%
SONY SONY GROUP CORP. 92.26 +1.72 +1.90%

Both Nike and Amazon are reportedly considering bids to acquire Peloton, according to the Financial Times and Wall Street Journal, respectively. Amazon declined to comment on rumors or speculation. Representatives for Peloton, Nike, Apple, Disney and Sony did not immediately return FOX Business request for comment.

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Amazon, Apple or Disney = Streaming Growth + Health & Wellness  

A Peloton acquisition by Apple, Amazon or Disney could help boost the companies' offerings as streaming subscriber growth has started to slow down. 

Apple and Amazon have already pushed into the healthcare space with products including the Apple Watch, Apple Fitness+ and the Halo Health and Wellness tracker. Amazon's fleet and logistics capabilities could also help Peloton address supply chain issues that have made it difficult to keep up with demand of its Bike and Tread products. 

Apple's "Golden Consumer Ecosystem"

Wedbush analyst Dan Ives said in a note Sunday that he would be "shocked if Apple is not aggressively involved in this potential deal process." He emphasized that Peloton would be a unique asset for Apple's "golden consumer ecosystem" and digestible given the tech giant's roughly $200 billion cash pile.   

Photo courtesy of Apple

Sony Needs a Hit After Microsoft-Activision Deal

In addition, Sony could benefit from another revenue stream as competition in the gaming space has heated up with its rival, Microsoft, which is buying video-game maker Activision for $69 billion. 

Ticker Security Last Change Change %
MSFT MICROSOFT CORP. 273.24 +7.34 +2.76%

Nike Could Tap Subscribers for More Programs 

As for Nike, an acquisition would allow the sportswear giant to tap into Peloton's paid subscriber base of approximately 2.8 million users to bolster its existing offerings.