Lyft (NASDAQ:LYFT) Stock Price Target Cut by Scotiabank

Key Points

• Scotiabank cut its Lyft price target to $16 from $17 and maintained a “sector perform” rating, implying 4.68% downside from the prior close.
• Analyst opinion remains broadly cautious: MarketBeat reports an average “Hold” rating and a $19 average price target, with 25 analysts at Hold, 10 at Buy and two at Sell.
• Lyft’s latest quarter missed estimates, reporting a $0.03 per-share loss and $1.82 billion in revenue versus forecasts of $0.20 EPS and $1.92 billion; revenue nevertheless rose 8.1% year over year.

Lyft (NASDAQ:LYFT - Get Free Report) had its target price cut by investment analysts at Scotiabank from $17.00 to $16.00 in a report issued on Friday, Benzinga reports. The brokerage presently has a "sector perform" rating on the ride-sharing company's stock. Scotiabank's price target indicates a potential downside of 4.68% from the company's previous close.

Other analysts also recently issued reports about the stock. Piper Sandler reissued an "overweight" rating and set a $21.00 price target (up from $20.00) on shares of Lyft in a report on Friday, August 7th. Royal Bank Of Canada reaffirmed an "outperform" rating and issued a $20.00 price objective on shares of Lyft in a report on Tuesday, August 18th. Raymond James Financial reiterated a "market perform" rating on shares of Lyft in a research report on Friday. Zacks Research raised shares of Lyft from a "strong sell" rating to a "hold" rating in a research note on Wednesday, August 5th. Finally, Jefferies Financial Group raised their target price on Lyft from $15.00 to $15.50 and gave the company a "hold" rating in a research report on Tuesday, July 14th. Ten research analysts have rated the stock with a Buy rating, twenty-five have assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat, Lyft currently has an average rating of "Hold" and an average price target of $19.00.

Lyft Stock Performance

Lyft stock traded down $1.05 during mid-day trading on Friday, hitting $16.79. The company had a trading volume of 11,525,463 shares, compared to its average volume of 13,714,425. The company has a current ratio of 0.59, a quick ratio of 0.59 and a debt-to-equity ratio of 0.33. Lyft has a 12-month low of $12.46 and a 12-month high of $25.54. The company's fifty day moving average is $16.20 and its 200-day moving average is $15.13. The company has a market capitalization of $6.35 billion, a price-to-earnings ratio of 2.44, a P/E/G ratio of 1.16 and a beta of 2.06.

Lyft (NASDAQ:LYFT - Get Free Report) last posted its earnings results on Thursday, November 5th. The ride-sharing company reported ($0.03) earnings per share for the quarter, missing the consensus estimate of $0.20 by ($0.23). The firm had revenue of $1.82 billion for the quarter, compared to analysts' expectations of $1.92 billion. Lyft had a net margin of 42.32% and a negative return on equity of 1.20%. Lyft's revenue for the quarter was up 8.1% compared to the same quarter last year. During the same period last year, the firm earned $0.11 earnings per share. Equities research analysts predict that Lyft will post 0.81 EPS for the current year.

Insider Activity

In other news, Director David Lawee sold 4,613 shares of the stock in a transaction that occurred on Thursday, August 27th. The stock was sold at an average price of $17.33, for a total transaction of $79,943.29. Following the transaction, the director owned 119,124 shares in the company, valued at $2,064,418.92. This trade represents a 3.73% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Erin Brewer sold 15,000 shares of Lyft stock in a transaction on Monday, August 24th. The shares were sold at an average price of $17.63, for a total transaction of $264,450.00. Following the completion of the sale, the chief financial officer directly owned 852,303 shares in the company, valued at $15,026,101.89. This represents a 1.73% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 61,586 shares of company stock worth $1,024,326. Insiders own 0.92% of the company's stock.

Institutional Trading of Lyft

Several institutional investors have recently modified their holdings of the stock. Principal Financial Group Inc. lifted its holdings in Lyft by 250.0% in the 1st quarter. Principal Financial Group Inc. now owns 4,246,519 shares of the ride-sharing company's stock valued at $56,479,000 after purchasing an additional 3,033,333 shares in the last quarter. Altshuler Shaham Ltd boosted its stake in Lyft by 51.6% during the 1st quarter. Altshuler Shaham Ltd now owns 7,662,027 shares of the ride-sharing company's stock worth $101,905,000 after purchasing an additional 2,607,417 shares during the last quarter. Junto Capital Management LP purchased a new stake in shares of Lyft during the second quarter worth $36,926,000. Dimensional Fund Advisors LP grew its holdings in shares of Lyft by 58.0% during the first quarter. Dimensional Fund Advisors LP now owns 6,720,478 shares of the ride-sharing company's stock worth $89,360,000 after buying an additional 2,467,010 shares in the last quarter. Finally, Pacer Advisors Inc. grew its holdings in shares of Lyft by 62.2% during the first quarter. Pacer Advisors Inc. now owns 3,189,313 shares of the ride-sharing company's stock worth $42,418,000 after buying an additional 1,223,536 shares in the last quarter. Institutional investors and hedge funds own 83.07% of the company's stock.

Trending Headlines about Lyft

Here are the key news stories impacting Lyft this week:

• Positive Sentiment: Lyft reported record rides and gross bookings, with rider growth extending to an eighth consecutive quarter of double-digit gains. Management also highlighted strong bookings and EBITDA, suggesting underlying business momentum. Article: Lyft CEO on Q3 results
• Positive Sentiment: Lyft introduced Lyft Go, a $9.99 monthly membership bundling DoorDash DashPass with 8% credits on Lyft rides and DoorDash orders. The company also plans to expand its Waymo robotaxi fleet in Nashville by year-end and says autonomous vehicles are not hurting its business. Article: Lyft and DoorDash membership Article: Waymo fleet expansion
• Neutral Sentiment: Rosenblatt Securities lowered its price target from $19 to $18 and maintained a neutral rating. The reduced target reflects tempered expectations, although it remains above the cited share price. Article: Rosenblatt Securities rating
• Negative Sentiment: Lyft’s reported third-quarter loss of $0.03 per share and $1.82 billion in revenue fell short of analyst estimates of $0.20 per share and $1.92 billion, respectively. Revenue still grew 8.1% year over year, but a roughly $117.9 million legal, tax and regulatory reserve charge weighed on results. The company’s in-line outlook did little to offset the earnings disappointment. Article: Lyft posts surprise loss

About Lyft

Lyft, Inc is a technology company that operates a transportation network platform in the United States and Canada. Its platform connects passengers with drivers through a mobile application and website, primarily offering on-demand rides in private vehicles, taxis and other transportation options.

The company also provides access to bicycles and scooters in select markets, as well as vehicle rentals and transportation solutions for businesses, healthcare organizations and other institutions.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.