The activist investor that pushed to oust Peloton Interactive Inc's co-founder and leader in January is now criticizing its new chief executive officer, arguing he has not made enough changes and that the company should be sold now.

Blackwells Capital, which owns nearly 5% of the company, said Peloton has failed to deliver on promises to transform the business and that too many insiders, including co-founder John Foley, continue to control its moves.

Peloton, a market darling during the COVID-19 pandemic as people flocked to its bikes, treadmills and popular streamed workouts, hired former Netflix executive Barry McCarthy as CEO in February to replace Foley who was named executive chairman.

In a presentation published on Wednesday, Blackwells said the new management team has failed to make "meaningful changes" and that shareholders have lost nearly $2 billion of value since McCarthy was hired.

Peloton's stock price, which had come under pressure as people returned to gyms as the pandemic eased, has fallen nearly 40% since McCarthy arrived. The company is now worth $7.8 billion, down from nearly $50 billion at its peak during the pandemic. The stock price climbed 5% to $24.91 after the presentation was published.

Peloton said it appreciates investors views and has "acted, and will continue to act, in the best interest of all Peloton shareholders."

Blackwells' founder, Jason Aintabi, said the $800 million expense reduction plan does not appear to go far enough and that there was room to "further rationalize the business."

Aintabi also criticized Foley's decision in February to sell roughly $50 million in Peloton stock to Michael Dell's MSD Partners at a 12% discount. The move exacerbates "misalignment with other shareholders," the presentation said.

Aintabi again said Peloton should be sold. It could bring at least $75 a share in a sale and companies like Apple, Amazon, Google, Netflix and Nike have complementary businesses that would mesh with Peloton, Aintabi said.

"For Peloton to garner a similar share price would likely take years through the acquisition of millions more subscribers," the presentation said.