Peloton Interactive on Wednesday announced a partnership with Lululemon Athletica, a rival of sorts. Peloton stock jumped Thursday, while LULU was almost unchanged.
As part of the five-year pact, Peloton will make its fitness content available to Lululemon app users. In turn, Lululemon will become Peloton's primary apparel partner, the companies said.
By year end, Lululemon plans to stop selling hardware that was part of its acquisition of Mirror, an at-home fitness company, in 2020, when the pandemic trapped people indoors.
The Mirror acquisition was seen at the time as a response to Peloton's rising popularity.
Peloton stock surged 5.4% to 4.90 on the stock market today. Once-hot PTON stock remains near record lows. It crumbled in the past couple years, as people returned to gyms after the pandemic, and sales slowed.
Lululemon stock closed almost flat, at 379, Thursday. Shares are hitting resistance at the 50-day line. LULU stock has still-valid buy points around 389 and above 394.
