Shares of Peloton Interactive (NASDAQ:PTON) were rising about 3% in morning trading Thursday after Exane BNP Paribas analyst Laurent Vasilescu initiated coverage on the home-fitness equipment maker with an outperform rating.
Analysts have been generally bullish about Peloton's prospects even after the market dealt its stock a serious blow following news on the effectiveness of Pfizer's coronavirus vaccine.
Yet with Russia also reportedly making strides in developing a therapy for the coronavirus and Eli Lilly getting a green light for its COVID-19 antibody treatment for the most at-risk patients, investors have sent Peloton's stock some 10% lower this week.
Peloton Interactive is not the only stock hit by the market turning against the so-called at-home trade, or companies that made huge gains from consumer buying preferences during the pandemic lockdowns.
Yet selling them off is also premature as states and cities are beginning to clamp down again, and former Vice President Joe Biden's coronavirus advisor is advocating locking down the economy again for four to six weeks.
If Biden has his way, the at-home trade could prove to be very lucrative once more.