Lemonade (NYSE:LMND) Price Target Raised to $42.00

Key Points

• BMO Capital Markets raised its price target for Lemonade (NYSE:LMND) from $23.00 to $42.00, despite maintaining an "underperform" rating on the stock.
• Alongside a mixed bag of ratings from other analysts, the average price target for Lemonade stands at $40.43 with a consensus rating of "Hold."
• Lemonade's quarterly revenue increased by 34.5% year-over-year, with earnings surpassing consensus estimates, as the company reported a loss of ($0.60) EPS.

Lemonade (NYSE:LMND - Get Free Report) had its price objective increased by BMO Capital Markets from $23.00 to $42.00 in a report issued on Monday, Marketbeat.com reports. The brokerage currently has an "underperform" rating on the stock. BMO Capital Markets' price objective would indicate a potential downside of 25.87% from the company's previous close.

LMND has been the subject of several other reports. Morgan Stanley reaffirmed an "underweight" rating and set a $26.00 price objective (up from $24.00) on shares of Lemonade in a report on Monday, July 14th. Wall Street Zen raised shares of Lemonade from a "sell" rating to a "hold" rating in a report on Saturday, August 9th. Keefe, Bruyette & Woods reaffirmed an "underperform" rating and set a $26.00 price objective (up from $22.00) on shares of Lemonade in a report on Tuesday, July 1st. Piper Sandler reaffirmed a "neutral" rating and set a $55.00 price objective on shares of Lemonade in a report on Thursday, August 14th. Finally, Cantor Fitzgerald raised shares of Lemonade to a "strong-buy" rating in a report on Wednesday, August 13th. One investment analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, one has given a Hold rating and four have assigned a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of "Reduce" and a consensus target price of $40.43.

Lemonade Price Performance

Shares of NYSE LMND traded up $0.5580 during trading hours on Monday, hitting $56.6580. 2,144,013 shares of the stock were exchanged, compared to its average volume of 2,357,556. The company's 50 day moving average is $44.33 and its 200 day moving average is $36.74. The firm has a market capitalization of $4.19 billion, a P/E ratio of -20.02 and a beta of 2.19. Lemonade has a one year low of $15.27 and a one year high of $60.41.

Lemonade (NYSE:LMND - Get Free Report) last posted its quarterly earnings data on Tuesday, August 5th. The company reported ($0.60) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.81) by $0.21. The business had revenue of $164.10 million during the quarter, compared to the consensus estimate of $160.88 million. Lemonade had a negative net margin of 33.96% and a negative return on equity of 36.12%. Lemonade's quarterly revenue was up 34.5% compared to the same quarter last year. During the same period in the prior year, the firm earned ($0.81) EPS. Lemonade has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. Research analysts anticipate that Lemonade will post -3.03 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, COO Adina Eckstein sold 5,000 shares of the firm's stock in a transaction dated Tuesday, August 5th. The shares were sold at an average price of $49.00, for a total transaction of $245,000.00. Following the completion of the transaction, the chief operating officer directly owned 189,653 shares of the company's stock, valued at approximately $9,292,997. This trade represents a 2.57% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider John Sheldon Peters sold 6,543 shares of the firm's stock in a transaction dated Monday, June 23rd. The stock was sold at an average price of $45.00, for a total transaction of $294,435.00. Following the transaction, the insider directly owned 106,115 shares of the company's stock, valued at $4,775,175. The trade was a 5.81% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 18,289 shares of company stock valued at $825,982. Insiders own 14.70% of the company's stock.

Hedge Funds Weigh In On Lemonade

Hedge funds and other institutional investors have recently made changes to their positions in the business. SVB Wealth LLC bought a new position in shares of Lemonade during the 1st quarter worth about $26,000. Quarry LP lifted its holdings in shares of Lemonade by 300.4% during the 4th quarter. Quarry LP now owns 933 shares of the company's stock worth $34,000 after acquiring an additional 700 shares during the period. Estabrook Capital Management bought a new position in shares of Lemonade during the 2nd quarter worth about $44,000. Golden State Wealth Management LLC lifted its holdings in shares of Lemonade by 1,733.3% during the 2nd quarter. Golden State Wealth Management LLC now owns 1,100 shares of the company's stock worth $48,000 after acquiring an additional 1,040 shares during the period. Finally, NewEdge Advisors LLC bought a new position in shares of Lemonade during the 1st quarter worth about $35,000. 80.30% of the stock is owned by institutional investors.

Lemonade Company Profile

Lemonade, Inc provides various insurance products through various channels in the United States, Europe, and the United Kingdom. Its insurance products include stolen or damaged property, and personal liability that protects its customers if they are responsible for an accident or damage to another person or their property.