SHAREHOLDER ALERT: Pomerantz Law Firm Reminds Shareholders with Losses on their Investment in Peloton Interactive, Inc. of Class Action Lawsuit and Upcoming Deadline

New York, New York – (Newsfile Corp. – June 12, 2021) – Pomerantz LLP announces that a class action lawsuit has been filed against Peloton Interactive, Inc. (“Peloton” or the “Company”) (NASDAQ: PTON) and some of his officers. The class action lawsuit, filed in the United States District Court for the Eastern District of New York and filed under 21-cv-02925, is on behalf of a group consisting of all natural and legal persons other than the defendants, who are the publicly acquired or otherwise acquired traded securities of Peloton between September 11, 2020 and May 5, 2021, inclusive (the “Class Period”). Plaintiff is seeking compensation for damages incurred as a result of Defendants violating federal securities laws under the Securities Exchange Act of 1934 (the “Exchange Act”).

If you are a shareholder who purchased Peloton securities during the class action period, you have until June 28, 2021 to request the court to appoint you as the lead plaintiff for the class action. A copy of the complaint is available at www.pomerantzlaw.com. To discuss this promotion, contact Robert S. Willoughby at [email protected] or 888.476.6529 (or 888.4-POMLAW) toll free ext. 7980. Inquiries by email are encouraged to include their postal address, telephone number, and the number of shares purchased.

[Click here for information about joining the class action]

Peloton offers interactive fitness products like the Peloton Bike and the Peloton Tread + and Tread, which include touchscreens that stream live and on-demand classes. Peloton also offers connected fitness subscriptions and access to live and on-demand classes.

The lawsuit alleges that during the class action period, defendants made essentially false and misleading statements about the company’s business, operational and compliance policies. In particular, Defendants made false and / or misleading statements and / or failed to disclose that: (i) Peloton’s Tread +, in addition to the tragic death of a child, caused a serious safety threat to children and pets as there were multiple incidents of injury to both; (ii) Safety was not a priority for Peloton as Defendants knew of but did not recall serious injuries and deaths resulting from the Tread + or suggested discontinuing use of the Tread +; (iii) In response to safety concerns, the US Consumer Product Safety Commission (“CPSC”) stated that the Tread + poses a serious risk to public health and safety, resulting in an urgent recommendation for consumers with young children not to use the Tread + use; (iv) the CPSC also identified a security threat to Tread + users if they lost their balance; (v) Tread had similar safety concerns; (vi) mere reinforcement of security warnings would not be sufficient; (vii) CPSC and Peloton would issue a recall to the Tread + and the Tread; (viii) problems with Tread + and Tread could not be patched via software updates; (ix) the defendants did not cooperate fully with the CPSC; (x) Contrary to what the Defendant said, the CPSC statements were not misleading or inaccurate; and (xi) as a result of the foregoing, Defendants’ statements regarding Peloton’s business, operations and prospects were materially false and misleading and / or were unfounded at all relevant times.

The story goes on

On April 17, 2021, a day the market was closed, the CPSC issued a press release entitled “CPSC Warns Consumers: Stop Using the Peloton Tread +” to warn the public of dangers, including death, in the In connection with the Peloton Tread +.

On the same day, Peloton released a press release entitled “PELOTON REFUTES CONSUMER PRODUCT SAFETY COMMISSION CLAIMS: CPSC PUBLISHES Misleading, Inaccurate BULLETIN ON TREAD + PRODUCT SAFETY,” which attempted to disprove the CPSC’s warnings.

According to these releases, Peloton’s share price fell $ 16.28 per share, or 14%, over the next three trading days, closing at $ 99.93 per share on April 21, 2021, hurting investors.

Then, on May 5, 2021, during market hours, the CPSC issued a statement titled “Statement from Acting Chairman Robert Adler on the Recall of the Peloton Tread + and Tread,” announcing that the CPSC and Peloton had reached an agreement For protection, users of the Peloton Tread + and Tread products have taken action, which obliges Peloton to immediately cease sales and distribution of both Tread + and Tread products in the United States and to reimburse the full purchase price to consumers who have their Want to return treadmills.

On the same day, Peloton posted an article on its website entitled, “CPSC and Peloton Announce: Recall of Tread + Treadmills After One Child Death and 70 Incidents; made a mistake in their first response to the CPSC’s request that Defendants get the Tread + should have called back and been more productive with the CPSC from the start.

Following those releases, Peloton’s share price fell $ 14.08 per share, or 14.56%, to close at $ 82.62 per share on May 5, 2021, causing further harm to investors.

The Pomerantz Firm, with offices in New York, Chicago, Los Angeles and Paris, is one of the leading law firms in the areas of corporate, securities and antitrust disputes. Founded by the late Abraham L. Pomerantz, known as the Dean of the Class Action Chamber, Pomerantz was a pioneer in the field of securities class actions. Today, more than 80 years later, the Pomerantz law firm continues the tradition he founded and fights for the rights of victims of securities fraud, breaches of duty of loyalty and corporate misconduct. The company has collected numerous millions of dollars in damages on behalf of class members. See www.pomerantzlaw.com.

CONTACT:
Robert S. Willoughby
Pomerantz LLP
[email protected]
888-476-6529 ext. 7980

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/87404

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