(Bloomberg) — Peloton Interactive Inc. founder John Foley is now a billionaire, thanks to a stunning rally in his home-fitness company’s shares since the pandemic began.
After posting a video to Kickstarter in 2013, Foley, a cycling enthusiast, raised $307,000 to help get his fledgling in-home exercise startup off the ground.
The former e-commerce president at Barnes & Noble wanted to bring the indoor cycling classes like those he was taking at New York boutiques SoulCycle and Flywheel into people’s homes. He had high hopes for Peloton, comparing its approach of creating both hardware and software to Apple Inc. in the Kickstarter video.
But Foley couldn’t have predicted the pandemic seven years later that would shut down gyms and spur a home exercise boom not long after his company’s IPO. Since mid-March, Peloton shares have rallied about 350%, sending Foley’s net worth to $1.3 billion, according to the
Lowe’s Cos. reported a strong summer sales pace that beat estimates as housebound Americans in every region did more home improvement while cutting back on other discretionary spending.
Same-store sales in the U.S. rose 35.1%, beating the estimate for a 20.5% gain from Consensus Metrix. Lowe’s adjusted earnings per share for the second quarter ended July 31 of $3.75 also beat the average analyst estimate.
Lowe’s Chief Executive Officer Marvin Ellison said all U.S. geographic areas delivered comparable sales growth of at least 30%, meaning sales grew in even the hardest-hit virus regions as Americans looked for do-it-yourself projects. The momentum has continued into August, with comparable sales so far on par with July’s 28% growth, even as stimulus checks to Americans stopped flowing last month.
Shares rose as much as 3.2% in New York. They had risen 32% year to date through Tuesday