In a letter to shareholders, Peter Stern says Peloton can grow again, but he notes the brand’s next phase will look different from its bike-filled past. Here’s what that may include
One year into his tenure as Peloton’s CEO, Peter Stern is setting expectations as the connected fitness giant charts a new path.
In a letter to shareholders penned this month, the Apple Fitness+ co-founder used the milestone to look beyond quarterly earnings and lay out what he sees as Peloton’s next chapter.
The message was clear: yes, the connected fitness brand can return to growth, but investors shouldn’t expect a replay of the pandemic-fueled boom that turned stationary bikes into status symbols.
Instead, Stern indicated an end to the single-product growth story that once defined Peloton, and it shows everywhere in his letter.
Here’s what to watch:
Strength Training Is Top of Mind
Stern draws a clear line between the adoption of weight-loss drugs and rising demand for strength training in 2025, emphasizing the need to pair cardio with resistance work, which he calls a “new and growing member acquisition opportunity.”
In short, the next generation of Peloton equipment could be taking shape.
Looking to 2026 and beyond, Stern says Peloton’s “embrace of cardio plus strength” means prioritizing new residential fitness hardware and intuitive software.
Commercial Comeback
Peloton is also forging ahead to expand beyond at-home fitness, leaning into the commercial gym space through its new Commercial Business Unit, bringing the brand into hotels, multifamily buildings and corporate campuses.
The strategy aligns with the recent launch of Peloton’s new Pro Series, a line of commercial-ready equipment that includes the Tread+ Pro, its first commercial treadmill.
AI Gets Personal
Then there’s AI.
Stern highlights Peloton IQ, the company’s newer AI-powered personalized coaching system, as the future of coaching. Available across Peloton’s connected devices, Peloton IQ uses AI to analyze workout history, wearable data and real-time performance to deliver personalized recommendations, form correction and customized workouts.
Peloton IQ will continue to evolve to “encompass a more complete array of fitness and wellness domains” and incorporate more third-party data sources, Stern noted.
A Nutrition Play?
Stern’s letter also notes a deeper push into wellness, a logical move amid a booming global wellness economy and changing consumer priorities. Peloton, he says, plans to expand into new domains, building on its acquisition of Breathwrk, a mindfulness app.
Even more telling, Peloton wants to “bridge the gap between exertion and nourishment,” suggesting the company is eyeing opportunities well beyond workouts and a possible entry into nutrition.
Stern raised similar ambitions last August, flagging plans to explore mental well-being, sleep and recovery, as well as nutrition and hydration.
Peloton has already started down that path. Last year, the company partnered with Respin Health, the menopause platform founded by Halle Berry, to study how targeted exercise can improve menopause-related symptoms.
