# Professor Aswath Damodaran's analysis on Peloton's IPO price is spotlighted

1 Faculty News May 26, 2020 ![investorplace_190x145](/sites/default/files/styles/246w/public/assets/images/investorplace_190x145.jpg?itok=AokB7bgn)>

Excerpt from [InvestorPlace](https://investorplace.com/2020/05/is-peloton-stock-the-next-nike-or-nautilus/) -- "When Peloton launched its IPO, NYU Stern finance professor [Aswath Damodaran](https://www.stern.nyu.edu/faculty/bio/aswath-damodaran) estimated that the shares were worth between $18 and $19, about 36% below its IPO price. 'I think the problem here is you have fundamentally a good business model, but I just don’t think it can scale up enough to justify the market cap,' Damodaran said last September."

[Read More](https://investorplace.com/2020/05/is-peloton-stock-the-next-nike-or-nautilus/)