Latest news with #PriceLock
Yahoo
03-07-2025
- Business
- Yahoo
Lyft (LYFT) Upgraded to Buy, Crowned TD Cowen's Top SMID-Cap Pick
Lyft Inc. (NASDAQ:LYFT) is one of the 20 undervalued momentum stocks that are taking off. On June 24, TD Cowen analyst John Blackledge upgraded Lyft Inc. to Buy from Hold, raising the price target from $16 to $21. Notably, he named Lyft his 'Best SMID-cap Idea' (small and mid-cap stock idea) for 2025. Blackledge pointed to several key factors behind his upgraded view. One of the main reasons was Lyft's focus on smaller U.S. markets. As per the analyst, cities such as Charlotte and Indianapolis showed over 30% year-over-year growth in Q1 2025, suggesting strength outside the company's traditional top-tier markets. A close-up view of a hand holding a smartphone, using a ride sharing app. International expansion was another reason. The analyst highlighted Lyft's planned acquisition of FREENOW, a European mobility platform, which is expected to contribute roughly €1 billion in annual gross bookings. Growth in Canada has also been notable, up 100% in 2024 and continuing with 50% growth in Q1 2025. The analyst also highlighted that product innovation and improved user experience are also supporting the company's growth. Blackledge pointed to initiatives such as Price Lock, which allows users to lock specific fares while helping Lyft build a base of recurring subscription revenue. The recent partnership with DoorDash is also driving user engagement and expanding the active rider base. Blackledge believes Lyft is executing well and doesn't need to gain market share from Uber, as it currently holds about 30% of the U.S. rideshare market, for its stock to perform. Over the long term, he sees upside from autonomous vehicles, which should expand the overall market opportunity. Lyft Inc. (NASDAQ:LYFT) is a leading ride-sharing and mobility-as-a-service company that connects passengers with drivers through its digital platform. The company operates in major cities across the U.S. and Canada, offering ride-hailing, bike and scooter rentals, and fleet management solutions. While we acknowledge the potential of LYFT as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: and 10 Best Tech Stocks to Buy According to Billionaires. Disclosure: None.
Yahoo
19-06-2025
- Business
- Yahoo
LYFT's Gross Bookings Growth Gaining Pace: A Sign of More Upside?
Lyft LYFT, a ridesharing company based in San Francisco, CA, is benefiting from the increase in gross bookings. Gross bookings are improving mainly owing to the growing active rider base, expansion into new markets and the success of the company's customer-friendly "Price Lock" feature. Last month, Lyft released its first-quarter 2025 earnings report. In the March quarter, gross bookings increased 13% year over year to $4.6 billion. Management stated that this was the 16th consecutive quarter where Lyft demonstrated double-digit year-on-year growth in the key metric. The uptick was driven by the record active riders of 24.4 million in the quarter. Active riders increased 11% year over year in the quarter. The total number of rides in the quarter reached a first-quarter record of 218.4 million, reflecting a year-over-year increase of 16%. For the second quarter of 2025, Lyft expects gross bookings in the $4.41-$4.57 billion range, indicating 10-14% growth from second-quarter 2024 actuals. LYFT's move to focus on less densely populated markets, such as Indianapolis, is paying off. Its Price Lock feature is also doing well. With the return-to-office mode gaining steam, there is a surge in weekday demand for ride-hailing services. To compete more effectively with rivals in the ride-hailing arena, Lyft has introduced a Price Lock feature. This feature allows users to bypass surge pricing during peak commuting hours. By locking in a commute price, they can save money. With customer traffic picking up, gross bookings were highly impressive for rival Uber Technologies UBER in the first quarter of 2025. Gross bookings from Uber's Mobility segment in the March quarter increased 20% year over year on a constant currency basis to $21.2 billion. The metric from the Delivery segment in the March quarter rose 18% year over year on a constant currency basis to $20.4 billion. In the June quarter, Uber expects gross bookings to be in the $45.75-$47.25 billion range, representing growth on a constant currency basis in the 16-20% band from second-quarter 2024 actuals. Singapore-based Grab GRAB is benefiting from strong growth in its On-Demand Gross Merchandise Value ('GMV'). On-Demand GMV refers to the sum of GMV of the mobility and deliveries segments. In the first quarter of 2025, On-Demand GMV increased 16% year over year at Grab. Grab expects 2025 revenues between $3.33 billion and $3.40 billion, indicating 19-22% year-over-year growth. Shares of LYFT have gained 8.3% in the past six months against its industry's 8.1% decline in the same timeframe. Image Source: Zacks Investment Research From a valuation standpoint, LYFT trades at a 12-month forward price-to-sales of 0.89X. LYFT is inexpensive compared with its industry. Image Source: Zacks Investment Research The Zacks Consensus Estimate for LYFT's 2025 and 2026 earnings has been revised upward over the past 60 days. Image Source: Zacks Investment Research LYFT currently carries a Zacks Rank #2 (Buy).You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Lyft, Inc. (LYFT) : Free Stock Analysis Report Uber Technologies, Inc. (UBER) : Free Stock Analysis Report Grab Holdings Limited (GRAB) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
10-06-2025
- Business
- Yahoo
LYFT Q1 Earnings Call: Management Focuses on Product Expansion, International Growth, and AV Partnerships
Ride sharing service Lyft (NASDAQ: LYFT) missed Wall Street's revenue expectations in Q1 CY2025, but sales rose 13.5% year on year to $1.45 billion. Its non-GAAP profit of $0.11 per share was 46.7% below analysts' consensus estimates. Is now the time to buy LYFT? Find out in our full research report (it's free). Revenue: $1.45 billion vs analyst estimates of $1.47 billion (13.5% year-on-year growth, 1.3% miss) Adjusted EBITDA: $106.5 million vs analyst estimates of $92.39 million (7.3% margin, 15.3% beat) EBITDA guidance for Q2 CY2025 is $122.5 million at the midpoint, in line with analyst expectations Operating Margin: -2%, up from -4.9% in the same quarter last year Active Riders: 24.2 million, up 2.3 million year on year Market Capitalization: $6.57 billion Lyft's first quarter results reflected management's ongoing focus on expanding its rider base, including both new demographic segments and geographic markets. CEO David Risher pointed to the successful launch of products like Lyft Silver and the company's entrance into Europe through the FREENOW acquisition as key factors supporting active rider growth. On the call, management highlighted that the commute segment now represents a significant share of rides, underscoring a shift in use cases. CFO Erin Brewer referenced operational discipline in cost management and continued product innovation, such as Wait & Save and Price Lock, as contributors to the company's operating margin improvement from last year. Looking ahead, Lyft's outlook is shaped by its ability to integrate international operations, scale new products, and execute on partnerships in autonomous vehicles (AVs). Management emphasized that the FREENOW acquisition will double Lyft's addressable market, although CEO David Risher acknowledged the need for careful integration. The company is also positioning itself to benefit from the expansion of fleet management and AV supply, with Risher noting, 'AVs are an absolutely extraordinary opportunity for us,' while cautioning that large-scale adoption remains a longer-term prospect. Brewer added that Lyft's insurance and risk programs are expected to support safe platform growth, but acknowledged that macroeconomic factors and evolving competitive dynamics will continue to influence near-term performance. Management attributed first quarter trends to product diversification, operational focus, and early progress in international and AV initiatives, while noting that competitive pricing and insurance costs remained ongoing challenges. Product portfolio expansion: Lyft's management highlighted the growing impact of products like Wait & Save and Price Lock, with Price Lock membership retention rising to approximately 75%. These offerings are designed to address rider preferences for price predictability and affordability, particularly in the commute segment, which now accounts for about a third of all rides. International and demographic growth: The company's rider base expanded through the launch of Lyft Silver and significant progress in Canada, where rider activity nearly doubled over the past year. The FREENOW acquisition, pending closing in the second half of the year, is expected to provide access to nine new European countries and strengthen Lyft's presence in premium taxi markets. Autonomous vehicle partnerships: Management underscored partnerships with May Mobility and Mobileye as steps toward integrating AVs into Lyft's network. Initial pilots, such as the upcoming Atlanta launch, are intended to generate operational insights. However, CEO David Risher emphasized that the pace and economics of AV adoption remain uncertain due to insurance, utilization rates, and supply constraints. Advertising and media platform development: Lyft Media is tracking toward a $100 million annualized revenue run rate, supported by new ad formats and 'sponsored rides' experiments. Management sees opportunities to attract both brand and performance advertisers as the platform's scale and engagement improve. Pricing and insurance dynamics: The average ride price was modestly higher year-over-year but declined compared to the previous quarter. Management cited increased competition and broader market dynamics as factors, while noting that improvements in risk management and insurance partnerships are ongoing but have not yet fully translated into pricing stability. Lyft's forward outlook is anchored by international expansion, deeper product adoption, and the execution of partnerships in AV technology and advertising. FREENOW integration and international focus: Management expects the FREENOW acquisition to be a primary catalyst for growth, effectively doubling Lyft's total addressable market. Early integration efforts will focus on operational alignment and leveraging FREENOW's fleet management expertise in European premium taxi markets, though management stressed that the deal must first close and that further expansion will be considered only after initial integration. AV partnerships and supply diversification: Lyft aims to broaden its supply base through partnerships with both AV technology providers and traditional fleet operators. Management believes these partnerships will diversify service offerings and enhance platform reliability, but cautioned that the impact on margins and pricing from large-scale AV deployments is difficult to predict given current market constraints and insurance complexities. Media and monetization initiatives: The development of Lyft Media and continued innovation in ad formats are expected to contribute incremental revenue. Management stated that successful advertiser adoption—particularly for location-based and 'sponsored ride' campaigns—will be a key determinant of media platform growth, while investments in marketing and technology to support these initiatives may pressure near-term margins. Looking ahead, the StockStory team will monitor (1) the closing and early integration of the FREENOW acquisition, (2) the performance of new product offerings like Price Lock and Lyft Silver in driving rider engagement and retention, and (3) operational milestones in AV partnerships, including pilot launches and fleet management scalability. The continued ramp of Lyft Media and expansion into new geographic markets will serve as additional indicators of strategic execution. Lyft currently trades at a forward EV/EBITDA ratio of 12.9×. At this valuation, is it a buy or sell post earnings? Find out in our full research report (it's free). Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today. 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Phone Arena
13-05-2025
- Business
- Phone Arena
T-Mobile subscribers feeling burned by price hike can join arbitration proceedings to seek compensation
Customers aren't quite over T-Mobile 's price hikes. Some have apparently responded by leaving and the company is trying to hold on to the rest by launching loyalty offers. For those who can't bring themselves to settle on a free line special offers , or rumored new plan, and want to get back at the carrier for reneging on its commitment to never raise prices on some plans, they can file an arbitration claim against the Milberg Coleman Bryson Phillips Grossman is pursuing an arbitration claim againstfor not honoring its Un-contract and Price Lock pledges, which misled customers into believing that prices would never go up. —Milberg Coleman Bryson Phillips Grossman T-Mobile T-Mobile T-Mobile This is not the same as filing a lawsuit , which involves going to court. It's an out-of-court resolution of a dispute. Arbitration is the better route here, consideringIf you believeshould be penalized for making your monthly bill go up, you can entrust Milberg with the task of filing an arbitration claim. In return, you can expect to receive arbitration proceedings don't take as long as lawsuits, they also tend to favor lawyers more than claimants monetarily, just like court cases , which is why they might not be worth the effort for an individual course, the bigger picture is that companies likeend up having to cover monetary damages and attorney's fees and costs, and this might make them think twice before doing something similar said, it's worth pointing out that the arbitration process isn't underway yet and Milberg may never initiate it. You'll also have to provide sensitive information to the firm, which is not something everyone is comfortable any case, if you have been contemplating legal action against the company but didn't want to fight the company on your own, you might want to give this a shot.
Yahoo
09-05-2025
- Business
- Yahoo
Why Is Lyft (LYFT) Stock Soaring Today
Shares of ride sharing service Lyft (NASDAQ: LYFT) jumped 27.4% in the afternoon session after the company reported strong first quarter 2025 results which significantly beat analysts' EPS and EBITDA expectations. Rides climbed 16% and the number of riders grew 11%, both setting new highs. Notably, Lyft's nearly $1 billion in trailing twelve-month cash flow signals a business increasingly capable of funding growth and returning capital, backed by a newly expanded $750 million share buyback plan. On the other hand, its revenue slightly missed. Still, we think this was a solid quarter due to the better-than-anticipated profitability. Is now the time to buy Lyft? Access our full analysis report here, it's free. Lyft's shares are very volatile and have had 25 moves greater than 5% over the last year. But moves this big are rare even for Lyft and indicate this news significantly impacted the market's perception of the business. The biggest move we wrote about over the last year was 6 months ago when the stock gained 30.2% on the news that the company reported robust third-quarter earnings, significantly surpassing analysts' expectations for both revenue and EBITDA. On the growth front, Lyft saw a 9% increase in active riders and a 6% increase in ride frequency, fueled by growth in Canada, heightened demand during the back-to-school season, and the introduction of new products like Price Lock. Moving on to the bottom line, Lyft reduced its per-ride incentive expenses by 17% year-over-year, achieving efficiency well ahead of its annual multiyear target of 10%. Profitability ratios were also supported by reductions in insurance costs. Looking ahead, Lyft planned to expand its business in Canada, drive engagement via partnerships with DoorDash and autonomous vehicle companies, and grow Lyft Media (advertising business) to enhance revenue. Overall, we think this was an impressive quarter. Lyft is up 20% since the beginning of the year, but at $16.39 per share, it is still trading 11.9% below its 52-week high of $18.59 from November 2024. Investors who bought $1,000 worth of Lyft's shares 5 years ago would now be looking at an investment worth $522.48. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
