Bank of America Corp DE Buys 177,853 Shares of Lemonade, Inc. $LMND

Key Points

• Bank of America initiated a Lemonade stake, purchasing 177,853 shares worth approximately $11.6 million, while institutional investors and hedge funds collectively own 80.3% of the company.
• Lemonade reported quarterly revenue of $294.4 million, up 79.4% year over year, while matching estimates with a loss of $0.56 per share. Analysts expect a full-year loss of $1.85 per share.
• The stock opened at $44.98, near its one-year low of $43.28, and analysts have a consensus “Hold” rating with a $64.50 price target.

Bank of America Corp DE bought a new stake in Lemonade, Inc. (NYSE:LMND - Free Report) during the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund bought 177,853 shares of the company's stock, valued at approximately $11,569,000. Bank of America Corp DE owned approximately 0.23% of Lemonade as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also made changes to their positions in LMND. BlackRock Inc. acquired a new position in Lemonade during the 2nd quarter worth approximately $393,408,000. Geode Capital Management LLC boosted its stake in shares of Lemonade by 4.9% in the fourth quarter. Geode Capital Management LLC now owns 1,438,358 shares of the company's stock valued at $102,400,000 after buying an additional 67,562 shares in the last quarter. Bank of New York Mellon Corp acquired a new position in Lemonade during the second quarter worth $13,861,000. Canada Pension Plan Investment Board acquired a new position in Lemonade during the second quarter worth $13,550,000. Finally, Man Group plc purchased a new position in Lemonade in the second quarter worth $8,864,000. 80.30% of the stock is currently owned by institutional investors and hedge funds.

Lemonade Price Performance

NYSE:LMND opened at $44.98 on Friday. The firm has a 50 day simple moving average of $52.61 and a 200-day simple moving average of $57.89. The firm has a market cap of $3.48 billion, a PE ratio of -24.58 and a beta of 1.87. Lemonade, Inc. has a 1-year low of $43.28 and a 1-year high of $99.90.

Lemonade (NYSE:LMND - Get Free Report) last announced its earnings results on Tuesday, July 28th. The company reported ($0.56) earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of ($0.56). Lemonade had a negative net margin of 14.19% and a negative return on equity of 26.78%. The firm had revenue of $294.40 million for the quarter, compared to analyst estimates of $291.01 million. During the same quarter last year, the business earned ($0.60) earnings per share. Lemonade's revenue was up 79.4% compared to the same quarter last year. As a group, sell-side analysts expect that Lemonade, Inc. will post -1.85 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of equities research analysts have commented on the company. Keefe, Bruyette & Woods raised Lemonade from an "underperform" rating to a "market perform" rating and set a $48.00 target price for the company in a report on Thursday, July 30th. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Lemonade in a research note on Friday, July 17th. Morgan Stanley cut their price target on shares of Lemonade from $65.00 to $56.00 and set an "equal weight" rating for the company in a report on Wednesday, August 19th. TD Cowen reiterated a "hold" rating on shares of Lemonade in a research note on Monday, June 8th. Finally, Wall Street Zen raised shares of Lemonade from a "sell" rating to a "hold" rating in a report on Saturday, September 19th. Four analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus price target of $64.50.

Insider Transactions at Lemonade

In other Lemonade news, insider Maya Prosor sold 1,040 shares of Lemonade stock in a transaction dated Thursday, September 3rd. The stock was sold at an average price of $54.63, for a total value of $56,815.20. Following the completion of the sale, the insider owned 186,533 shares in the company, valued at $10,190,297.79. The trade was a 0.55% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider John Peters sold 2,249 shares of the company's stock in a transaction dated Friday, September 4th. The shares were sold at an average price of $54.45, for a total transaction of $122,458.05. Following the transaction, the insider directly owned 73,834 shares of the company's stock, valued at approximately $4,020,261.30. This represents a 2.96% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders sold 18,592 shares of company stock worth $1,076,326. 12.20% of the stock is owned by corporate insiders.

Lemonade Company Profile

Lemonade, Inc is a technology-driven insurance company that offers digital insurance products through its website and mobile applications. Its platform uses automation, artificial intelligence and behavioral economics to streamline policy applications, claims processing and customer service.

The company provides renters, homeowners, pet, term life and automobile insurance. Product availability varies by location, and Lemonade distributes its offerings through regulated insurance entities and licensed partners.

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