Bank of America Raises Target Price for Lyft Stock

Bank of America has recently updated its target price for Lyft (NASDAQ:LYFT) stock from $16.00 to $19.00 in a report published on Thursday. This adjustment reflects a positive outlook on the ride-sharing company's future performance, and the firm has maintained a "buy" rating for Lyft. With this new target price, there is a potential upside of approximately 7.47% from the stock's previous close.

Analyst Ratings

In addition to Bank of America's report, several other equity research analysts have also weighed in on Lyft's shares. For instance, UBS Group increased their price target from $13.00 to $18.00 while giving the stock a "neutral" rating. Similarly, Nomura Securities upgraded their rating from "strong sell" to "hold" recently.

On the downside, JPMorgan Chase & Co. decreased their target price from $18.00 to $15.00 and issued a "neutral" rating. Meanwhile, Evercore ISI raised their target to $19.00 and kept an "in-line" rating on the stock. Cantor Fitzgerald, on the other hand, increased their price target from $13.00 to $16.00, maintaining a "neutral" rating.

Overall, 28 analysts have rated Lyft stock with a hold rating, while 9 have issued a buy rating and one a strong buy rating. Based on market data, Lyft currently has a consensus rating of "Hold" and an average price target of $17.00.

Lyft Stock Performance

During trading on Thursday, Lyft's stock rose by 22.8%, reaching $17.68, with over 57 million shares changing hands, significantly above its average trading volume. Over the past year, the stock has seen a low of $8.93 and a high of $20.82. Lyft's market capitalization stands at approximately $7.25 billion, and it carries a P/E ratio of -109.88.

Recent Earnings Report

Lyft recently announced its quarterly earnings, reporting an EPS of $0.24 which exceeded the expected $0.19, with revenues of $1.44 billion surpassing analyst estimates of $1.39 billion. This marks a 40.6% year-over-year increase in revenue. Despite this positive performance, the company has experienced a negative return on equity of 8.57% and a negative net margin of 1.27%. Analysts predict Lyft's EPS for the current fiscal year will be around -0.06.

Insider Transactions

In related news, insider Lindsay Catherine Llewellyn sold 4,243 shares, amounting to $50,916, at an average price of $12.00. Following this sale, Llewellyn owns approximately 760,089 shares valued at around $9.12 million. Additionally, Director John Patrick Zimmer sold 2,424 shares for $27,439.68. Over the past three months, insiders have sold a total of 32,664 shares valued at approximately $380,048.

Institutional Investments

Institutional investors have also been active with Lyft's stock. Vanguard Group increased its shares by 2.4% to own 32.9 million shares, worth about $636.6 million. Other firms like Primecap Management Company and Bank of New York Mellon have also increased their stakes in Lyft, indicating growing confidence from large investors.

About Lyft

Lyft operates a peer-to-peer ridesharing marketplace primarily in the United States and Canada. The company connects drivers with riders through various transportation options, including car rentals and a network of bikes and scooters.

Bank, America, Lyft