Morningstar Rating
Stock XNAS Rating as of
$15.08 −0.52(3.33%)
View Full ChartAs of Delayed Price Closed
Unlock our analysis with Morningstar Investor
Company Report
Company Report
Lyft Earnings: Growth and Margin Expansion on Track; Maintaining Fair Value, Shares Undervalued
Malik Ahmed Khan
We are maintaining our $25 per share fair value estimate for narrow-moat Lyft, and believe shares remain undervalued. We’ll know more once rival Uber reports; however, initial numbers for Lyft appear solid. Gross bookings increased 21% year over year, ahead of guidance, while adjusted EBITDA was also impressive, coming in at $59.4 million compared with the high end of guidance of $55 million. Full-year guidance was reaffirmed, and the expected full-year percentage of EBITDA converting to free cash flow was increased to 70% from 50%. As such, Lyft remains well on track to meet our full-year expectations for 17% growth in gross bookings, and improving margins and cash flow generation. We continue to think that Lyft can achieve consistent low-teens revenue growth in the coming years and gradually improve margins and cash generation, becoming free cash flow positive this year.
LYFT is trading at a 865% premium.
Price
$15.07
Fair Value
$63.00
Uncertainty
Very High
- 1-Star Price
- $48.51
- 5-Star Price
- $68.90
- Economic Moat
- Ggrls
- Capital Allocation
- Zlcsvmcq
Bulls Say, Bears Say
Bulls Say, Bears Say
Bulls
Lyft’s position in the autonomous vehicle race could equalize gross and net revenue, if it no longer needs to pay drivers.
Bears
The development of autonomous vehicles, especially Google’s Waymo, could eliminate the need for all existing ride-sharing platforms, driving Uber and Lyft out of business.
Is it the right time to buy, sell, or hold?
Start a free trial of Morningstar Investor to unlock exclusive ratings and continuous analyst coverage to help you decide if LYFT is a good fit for your portfolio.
- Lyft's stock gets a new 'buy' call from one of the last bearish holdouts
- Lyft offers up 'long-awaited' long-term forecast - and this key metric could hit $25 billion, analyst says
- Lyft Provides 2027 Financial Targets at First Investor Day
- Appaloosa takes new stake in Boeing, sours on GM
- Investors in Uber and other gig companies could be hoping for a Trump win in November. Here's why.
- Lyft puts up another quarter of positive free cash flow, following jump in rides
- Lyft Announces Results for First Quarter 2024
- SHAREHOLDER ALERT: Pomerantz Law Firm Announces the Filing of a Class Action Against Lyft, Inc. - LYFT
Trading Information
Trading Information
- Previous Close Price
- $15.60
- Day Range
$14.34–15.63
- 52-Week Range
$8.85–20.82
- Bid/Ask
- $15.10/$15.13
- Market Cap
- $6.08 Bil
- Volume/Avg
- 23.8 Mil/13.5 Mil
Key Statistics
Key Statistics
- Price/Earnings (Normalized)
- 24.51
- Price/Sales
- 1.26
- Dividend Yield (Trailing)
- —
- Dividend Yield (Forward)
- —
- Total Yield
- —
Company Profile
Company Profile
Lyft is the second-largest ride-sharing service provider in the us and Canada, connecting riders and drivers over the Lyft app. Incorporated in 2013, Lyft offers a variety of rides via private vehicles, including traditional private rides, shared rides, and luxury ones. Besides ride-share, Lyft also has entered the bike- and scooter-share market to bring multimodal transportation options to users.
- Sector
- Technology
- Industry
- Software - Application
- Stock Style Box
- Small Value
- Total Number of Employees
- 2,945
- Website
- https://www.lyft.com
Competitors
Competitors
- Alphabet Inc Class A GOOGL
Valuation
Valuation
| Metric | LYFT | GOOGL |
|---|---|---|
Price/Earnings (Normalized) | 24.51 | 26.74 |
Price/Book Value | 12.36 | 7.40 |
Price/Sales | 1.26 | 6.96 |
Price/Cash Flow | 25.07 | 19.29 |
Price/Earnings
LYFT
GOOGL
Financial Strength
Financial Strength
| Metric | LYFT | GOOGL |
|---|---|---|
Quick Ratio | 0.53 | 1.98 |
Current Ratio | 0.82 | 2.15 |
Interest Coverage | −10.71 | 285.78 |
Quick Ratio
LYFT
GOOGL
Profitability
Profitability
| Metric | LYFT | GOOGL |
|---|---|---|
Return on Assets (Normalized) | 5.55% | 25.77% |
Return on Equity (Normalized) | 57.83% | 36.64% |
Return on Invested Capital (Normalized) | 10.60% | 32.10% |
Return on Assets
LYFT
GOOGL
See how this stock stacks up to its competitors with Morningstar Investor
Software - Application Industry Comparables
Software - Application Industry Comparables
| 1-Day Chart | Name | Price | Morningstar Rating for Stocks | Capital Allocation | Economic Moat | Market Cap |
|---|---|---|---|---|---|---|
| Salesforce Inc CRM | Tpbkkqhb | Srt | $234.3 Bil | |||
| SAP SE ADR SAP | Bggf | Qpfxwx | $225.4 Bil | |||
| Intuit Inc INTU | Cnpczblp | Nwmrc | $160.4 Bil | |||
| Uber Technologies Inc UBER | Trvnkwxjt | Tqkjwwt | $144.8 Bil | |||
| ServiceNow Inc NOW | Dyqlgnycb | Gpk | $143.5 Bil | |||
| Shopify Inc Registered Shs -A- Subord Vtg SHOP | Rlmblbgdx | Kbkqc | $81.2 Bil | |||
| Cadence Design Systems Inc CDNS | Vxtzmjywg | Lxgdyyf | $80.7 Bil | |||
| Roper Technologies Inc ROP | Nkfdxkqrm | Gsmx | $59.6 Bil | |||
| Workday Inc Class A WDAY | Qhyzlvxfjn | Pkdz | $57.2 Bil | |||
| Dassault Systemes SE ADR DASTY | Fmbynlx | Hjr | $53.0 Bil |
