Citizens Jmp Issues Pessimistic Forecast for Lemonade (NYSE:LMND) Stock Price

Key Points

• Citizens Jmp cut its price target on Lemonade from $85 to $80 but kept a "market outperform" rating, implying roughly a 42% upside from the current share price.
• Q1 beat: Lemonade reported EPS of -$0.47 and revenue of $258M (+70.6% YoY), raised near‑term revenue guidance and cited reinsurance reduction and AI efficiencies to boost margins, yet the company remains unprofitable with negative net margin and ROE.
• Analyst views are mixed — MarketBeat shows a consensus "Hold" with an average target of $65.25 while the stock trades around $56.30; institutional investors have been adding to positions even as insiders have sold recently.

Lemonade (NYSE:LMND - Get Free Report) had its price target lowered by analysts at Citizens Jmp from $85.00 to $80.00 in a report issued on Thursday,Benzinga reports. The firm currently has a "market outperform" rating on the stock. Citizens Jmp's price objective would indicate a potential upside of 42.11% from the stock's current price.

Several other equities research analysts have also commented on LMND. Cantor Fitzgerald boosted their price target on Lemonade from $85.00 to $92.00 and gave the stock an "overweight" rating in a research note on Wednesday, January 14th. Keefe, Bruyette & Woods upped their target price on Lemonade from $40.00 to $44.00 and gave the company an "underperform" rating in a research note on Tuesday, February 24th. Wolfe Research set a $44.00 target price on Lemonade in a research note on Tuesday, February 24th. Citigroup reiterated an "outperform" rating on shares of Lemonade in a report on Friday, January 16th. Finally, Truist Financial cut their price target on Lemonade from $98.00 to $70.00 and set a "buy" rating for the company in a report on Wednesday. Five investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and three have given a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Hold" and an average target price of $65.25.

Lemonade Stock Performance

LMND traded up $0.30 during trading on Thursday, reaching $56.30. The company's stock had a trading volume of 764,980 shares, compared to its average volume of 2,355,412. The company's fifty day moving average price is $60.17 and its 200-day moving average price is $68.40. The company has a market capitalization of $4.32 billion, a price-to-earnings ratio of -24.98 and a beta of 2.04. Lemonade has a 52-week low of $28.47 and a 52-week high of $99.90.

Lemonade (NYSE:LMND - Get Free Report) last announced its quarterly earnings results on Wednesday, April 29th. The company reported ($0.47) EPS for the quarter, topping the consensus estimate of ($0.58) by $0.11. The business had revenue of $258.00 million for the quarter, compared to analyst estimates of $251.50 million. Lemonade had a negative return on equity of 31.19% and a negative net margin of 22.43%.The company's quarterly revenue was up 70.6% on a year-over-year basis. During the same quarter in the previous year, the company earned ($0.86) EPS. Equities analysts predict that Lemonade will post -1.74 earnings per share for the current year.

Insiders Place Their Bets

In other news, insider John Sheldon Peters sold 3,571 shares of the company's stock in a transaction on Wednesday, March 4th. The stock was sold at an average price of $52.50, for a total transaction of $187,477.50. Following the completion of the sale, the insider directly owned 76,729 shares in the company, valued at $4,028,272.50. This represents a 4.45% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. In the last three months, insiders sold 5,567 shares of company stock valued at $287,517. Insiders own 14.70% of the company's stock.

Institutional Trading of Lemonade

Several large investors have recently added to or reduced their stakes in LMND. AQR Capital Management LLC increased its holdings in Lemonade by 107.3% in the 1st quarter. AQR Capital Management LLC now owns 30,490 shares of the company's stock valued at $958,000 after purchasing an additional 15,779 shares in the last quarter. Millennium Management LLC increased its holdings in Lemonade by 255.2% in the 1st quarter. Millennium Management LLC now owns 329,934 shares of the company's stock valued at $10,370,000 after purchasing an additional 237,044 shares in the last quarter. NewEdge Advisors LLC acquired a new stake in Lemonade in the 1st quarter valued at $35,000. Goldman Sachs Group Inc. boosted its position in Lemonade by 7.3% in the 1st quarter. Goldman Sachs Group Inc. now owns 612,292 shares of the company's stock valued at $19,244,000 after buying an additional 41,759 shares during the last quarter. Finally, Prudential Financial Inc. purchased a new position in Lemonade in the 2nd quarter valued at about $307,000. 80.30% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Lemonade

Here are the key news stories impacting Lemonade this week:

• Positive Sentiment: Beat on revenue and bottom line: Q1 revenue $258.0M vs. ~$251.5M est; EPS -$0.47 vs. -$0.58 est, and revenue grew ~70.6% year-over-year. MarketBeat Q1 results
• Positive Sentiment: Raised revenue guidance: Q2 revenue guided to ~$287–$290M and FY ’26 revenue guide centered near $1.2B, signaling continued top-line growth. BusinessWire release
• Positive Sentiment: Strategic shifts that could boost margins long-term: management highlighted a materially reduced reinsurance share (reportedly from ~55% to ~20%) and AI-driven efficiencies that should accelerate revenue capture and margin improvement toward adjusted EBITDA profitability. Seeking Alpha analysis
• Neutral Sentiment: Call materials and transcripts available for deeper analysis — read the shareholder letter, slide deck and the earnings-call transcript to assess loss ratio trajectory, reinsurance specifics and opex cadence. Fool transcript Seeking Alpha transcript
• Negative Sentiment: Market punished the print despite beats — shares fell after the open. Investors may be worried that higher policy retention increases underwriting volatility and capital exposure even as it boosts revenue capture. Fool explainer
• Negative Sentiment: Company remains unprofitable with negative net margin and ROE; guidance was roughly in-line with consensus (limited upside surprise), leaving profitability timelines and loss-ratio improvement as key near-term risks for the stock. Zacks metrics

About Lemonade

Lemonade, Inc NYSE: LMND is a New York–based technology-driven insurance carrier that leverages artificial intelligence and behavioral economics to streamline the purchase and management of policies. Founded in 2015, the company offers renters, homeowners, pet, term life and car insurance products tailored for digitally savvy consumers. By automating underwriting and claims processing through chatbots and machine learning, Lemonade aims to deliver a more transparent and user-friendly experience than traditional insurers.

The company's product suite includes standalone policies for renters and homeowners, customizable pet insurance plans, and term life coverage with simple online applications.

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