Stifel analyst Scott Devitt raised the firm's price target on Peloton Interactive (PTON) to $55 from $50 and keeps a Buy rating on the shares after the company yesterday morning disclosed it had surpassed 1M connected fitness subscribers, an increase of over 114,100 since the end of its fiscal Q3.

The stock closed Tuesday up $3.37 to $46.17.

The announcement is positive confirmation of Peloton's quarterly trends, says the analyst, who increased his fiscal Q4 estimates to the high end of the company's guided range.