StockBeat: Goldman Predicts 60% Jump in Lyft

This post was originally published on this site
https://i-invdn-com.akamaized.net/news/LYNXNPEF3025Q_M.jpg
© Reuters. © Reuters.

Investing.com – Lyft (NASDAQ:) is slumping Thursday, but signs that the ride-hailing company is improving efficiency and gaining market share led Goldman Sachs (NYSE:) to make a bold call, forecasting shares to jump more than 60%.

Goldman Sachs upgraded Lyft to a buy from neutral and lifted its price target on the stock to $71 From $58, indicating more than 61% of upside ahead from its closing price of $44.12. Lyft was down 4%.

The bullish call from Goldman came as the ride-hailing company drove in third-quarter results that were not as bad as many had feared and lifted its guidance.

LYFT a loss of 41 cents a share on revenue of $955.6 billion, beating consensus estimates from Investing.com for a loss of 77 cents a share on revenue of $915.51 billion.

During the quarter, the number of riders on its platform surged 28% to 22.3 million from a year earlier and it made more money from each rider, a sign that the company is getting costs under control.

Revenue per active rider surged 27% year over year to $42.82.

“Lyft continues to gain share and is beginning to show the operational efficiencies that we’ve previously noted are critical to the ride hailing industry maturing beyond its hyper-competitive, venture-funded phase,” {{Goldman Sachs said in a note to clients.}}

Lyft has an average price target of $69.80, according to consensus estimates from Investing.com.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Add Comment