Peloton, Board Settle Insider Trading Cases on Treadmill Safety

Peloton Interactive Corp. and its senior leaders have an agreement in principle to end litigation over their alleged scheme to pocket millions in insider trading profits at prices inflated by the company’s pandemic-era boom while concealing catastrophic safety problems.

Peloton and its top brass said in court filings that they’re finalizing a global settlement to resolve a trio of parallel shareholder cases targeting their stock sales and statements about its treadmills. The company—best known for its flagship stationary bike—saw its fortunes soar after the Covid-19 outbreak shuttered gyms worldwide, forcing people to work out at home.

The three lawsuits, filed ...