Lyft Inc (LYFT)

Shares of Lyft, Inc. (LYFT) dropped by 5.97% from $10.72 to $10.08 in the trading on Thursday, Novemeber 9, 2023. The reason why LYFT down is due to its mixed Q3 earnings and Q4 outlook

• Strong Revenue Growth and Increased Ridership: Total revenues for the quarter amounted to $1,157.6 million, exceeding the Zacks Consensus Estimate of $1,142.3 million. This marked a 9.8% year-over-year increase, reflecting substantial growth in the rideshare market. The number of active riders also saw a noteworthy increase, rising by 10% year over year to reach 22.4 million, although it fell short of our estimate of 24.4 million.
• Dip in Revenue per Active Rider: Despite the overall growth, revenue per active rider showed a marginal decrease year over year, settling at $51.67. This figure was slightly lower than our projection of $46.82.
• Impressive Adjusted EBITDA Performance: In the third quarter, adjusted EBITDA reached $92 million, surpassing both our estimate of $80.1 million and the actual figure reported in the second quarter of 2023, which stood at $41 million. The adjusted EBITDA margin for the quarter was 2.6%.
• Fourth Quarter Outlook: Lyft's management has provided an outlook for the fourth quarter, with gross bookings expected to range between $3.6 billion and $3.7 billion. Adjusted EBITDA for the same period is projected to fall within the $50-$60 million range, with an anticipated adjusted EBITDA margin (as a percentage of gross bookings) ranging from 1.4% to 1.6%.

LYFT shares fell 7.35%, from $11.84 to $10.97. Ownership of Lyft Inc. Class A by funds and institutions has dropped, with 623 reporting positions, down 14.77% in the last quarter. On average, these funds allocated 0.15% of their portfolios to LYFT, a decrease of 11.87%. Institutional holdings also fell by 2.55% to 298,019K shares in the past three months.

https://www.msn.com/en-us/money/savingandinvesting/rbc-capital-reiterates-lyft-inc-cls-a-lyft-sector-perform-recommendation/ar-AA1giyOb

Lyft's stock faced a 10% drop despite a robust earnings projection, as the company indicated its intention to intensify competitive pricing to close the gap with competitor Uber.

https://finance.yahoo.com/news/us-stocks-wall-street-ends-203157298.html

Lyft's stock fell due to Q2 revenue missing expectations. Revenue was $1-1.02 billion vs estimated $1.08 billion. Loss/share was 50C vs estimated 57C, but this didn't offset revenue disappointment.

https://www.fool.com/investing/2023/05/08/lyfts-stock-price-is-crashing-but-its-not-a-buying/

LYFT is going down today after announced a change in its management, stating that both of its co-founders would be stepping away from their current roles in the company's day-to-day operations. David Risher, a former executive of both Amazon and Microsoft, was appointed as the new CEO.

https://www.fool.com/investing/2023/03/28/why-lyft-stock-was-climbing-today/