Blackwells Capital Activist Presentation Deck
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Google would position itself as a leading player in health and wellness
Plug-and-play ability to bundle with 31 million weekly Fitbit users
Robust opportunity to cross-sell and bundle content and offerings such as:
Fitbit / Wear OS: Fitbit and Wear OS (a version of Google's android operating system
designed for smartwatches and wearables) provide a significant opportunity to bundle
content and link the systems to Peloton equipment
POTENTIAL STRATEGIC ACQUIRERS
GOOGLE
Google Fit: Google's activity tracker Google Fit is an app for iPhone and Android which
tracks runs, workouts, exercise and sleep and also links to Apple and Samsung watches
Google Home / Chromecast: Google Home and Chromecast are the starting points of
Google's smart home products that could incorporate Peloton into the ecosystem for a more
integrated smart home experience
YouTube: Google, through its ownership of YouTube, can provide new content and
streaming services for the Peloton devices
Strategically Defensive Asset: Prevents other big tech / health and wellness competitors from
gaining trophy subscription fitness asset
Google Fit
BW BLACKWELLS CAPITAL
fitbit
► YouTube Premium
Market Cap ($M)
Enterprise Value ($M)
LTM Revenue ($M)
Cash and Short-Term Investments ($M)
Net Debt/LTM EBITDA
Company Overview¹
Number of Users:
Google
Economic Benefits to Google²
(1) Source: CapIQ Pro and Company filings. All data as of April 8, 2022 unless specified otherwise. (2) Source: Company filings and publicly available data.
Note: Assumes PTON incremental margin of 60%, below managements guidance of 70%, on current subscription prices. Accretion based on 2022E EBITDA multiples per Capital IQ.
$1,761,984
$1,650,219
$257,637
$139,649
Value Creation at Various User Penetration Rates:
$3.0 billion
2.5%
5.0%
$6.1 billion
10.0%
$12.1 billion
NM
31 million
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