Lemonade (NYSE:LMND) Shares Up 5% - Here's Why

Lemonade, Inc. (NYSE:LMND - Get Free Report)'s share price was up 5% during trading on Tuesday . The company traded as high as $47.25 and last traded at $46.00. Approximately 1,169,401 shares traded hands during mid-day trading, a decline of 44% from the average daily volume of 2,084,130 shares. The stock had previously closed at $43.81.

Analysts Set New Price Targets

LMND has been the subject of several recent research reports. Morgan Stanley lowered shares of Lemonade from an "equal weight" rating to an "underweight" rating and lowered their target price for the company from $35.00 to $24.00 in a research note on Tuesday, April 8th. Keefe, Bruyette & Woods reaffirmed an "underperform" rating and issued a $26.00 price target (up from $22.00) on shares of Lemonade in a report on Tuesday. Four equities research analysts have rated the stock with a sell rating, one has assigned a hold rating and one has assigned a buy rating to the company. According to data from MarketBeat, the company has an average rating of "Hold" and a consensus price target of $28.83.

Lemonade Price Performance

The company has a market cap of $3.21 billion, a price-to-earnings ratio of -14.39 and a beta of 2.20. The firm's fifty day moving average price is $34.94 and its 200-day moving average price is $34.34.

Lemonade (NYSE:LMND - Get Free Report) last announced its earnings results on Wednesday, May 7th. The company reported ($0.86) earnings per share for the quarter, missing the consensus estimate of ($0.84) by ($0.02). Lemonade had a negative net margin of 38.90% and a negative return on equity of 36.72%. During the same period in the prior year, the company posted ($0.67) EPS. The business's revenue was up 27.0% compared to the same quarter last year. As a group, equities analysts forecast that Lemonade, Inc. will post -3.03 earnings per share for the current fiscal year.

Insider Activity at Lemonade

In related news, insider John Sheldon Peters sold 6,543 shares of the stock in a transaction dated Monday, June 23rd. The shares were sold at an average price of $45.00, for a total value of $294,435.00. Following the completion of the transaction, the insider owned 106,115 shares in the company, valued at $4,775,175. This represents a 5.81% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, major shareholder Softbank Group Capital Ltd sold 387,282 shares of the firm's stock in a transaction dated Tuesday, May 13th. The shares were sold at an average price of $32.84, for a total transaction of $12,718,340.88. Following the transaction, the insider directly owned 7,111,441 shares in the company, valued at approximately $233,539,722.44. The trade was a 5.16% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 2,509,545 shares of company stock worth $78,775,964 over the last ninety days. 12.50% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. Rhumbline Advisers increased its position in shares of Lemonade by 2.1% during the 4th quarter. Rhumbline Advisers now owns 75,705 shares of the company's stock valued at $2,777,000 after purchasing an additional 1,561 shares during the period. New York State Common Retirement Fund boosted its stake in Lemonade by 41.3% during the fourth quarter. New York State Common Retirement Fund now owns 18,128 shares of the company's stock valued at $665,000 after buying an additional 5,300 shares in the last quarter. Bank of New York Mellon Corp grew its holdings in Lemonade by 0.3% during the fourth quarter. Bank of New York Mellon Corp now owns 151,186 shares of the company's stock worth $5,545,000 after acquiring an additional 442 shares during the period. Oppenheimer & Co. Inc. bought a new stake in Lemonade in the fourth quarter worth about $640,000. Finally, US Bancorp DE lifted its holdings in Lemonade by 574.5% in the 4th quarter. US Bancorp DE now owns 1,875 shares of the company's stock valued at $69,000 after acquiring an additional 1,597 shares during the last quarter. Institutional investors and hedge funds own 80.30% of the company's stock.

About Lemonade

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.