John Foley, once at the pinnacle of success as the billionaire CEO of Peloton, has seen his fortune vanish almost as quickly as it was amassed. Foley recently disclosed that his wealth has been entirely wiped out, forcing him to sell off nearly all his possessions.
Peloton is a fitness technology company best known for its stationary bicycles and treadmills, which come equipped with internet-connected screens that allow users to participate in live and on-demand fitness classes from the comfort of their homes. The company gained massive popularity during the COVID-19 pandemic as people sought at-home workout solutions.
During the pandemic, Peloton became a sensation, with sales skyrocketing by over 400% and the company’s stock soaring. Foley, who co-founded the company in 2012, quickly found himself in the billionaire club. But as the world started to reopen and people returned to gyms, Peloton’s remarkable growth faltered. The company’s stock took a nosedive, and by late 2021, Foley’s status as a billionaire had evaporated.
Adding to Peloton’s woes was a PR disaster triggered by a scene in the “Sex and the City” reboot, where a character suffers a heart attack while using a Peloton bike. This incident, which Foley described as “brutal,” came just as the company’s stock was already under pressure, leading to a significant drop in value.
At its peak, Peloton was valued at $50 billion, but by the time Foley stepped down as CEO in early 2022, the company’s market cap had shrunk to $1.8 billion. Foley, once worth $1.9 billion, left the company with just $225 million.
To cope with his financial losses, Foley sold off personal assets, including a $55 million waterfront home in East Hampton. Reflecting on his dramatic reversal of fortune, Foley noted that his family has handled the transition well, even finding silver linings in the downsizing.
