Mayville settlement with Peloton ‘obviously positive,’ says Northland

After Mayville Engineering (MEC) announced a settlement with Peloton Interactive (PTON) whereby the latter will pay the company $25.5M to settle outstanding litigation, Northland said this development is “positive for MEC, obviously.” Aside from the cash value of the settlement, the firm suspects the settlement to result in a reduction to annual operating expenses of roughly $1.0M, adds the analyst, who e reiterates an Outperform rating and $30 price target on Mayville shares.