Ride sharing service Lyft (NASDAQ: LYFT) will be reporting results this Thursday after the bell. Here’s what you need to know.
Lyft beat analysts’ revenue expectations last quarter, reporting revenues of $1.84 billion, up 16.1% year on year. It was a strong quarter for the company, with a solid beat of analysts’ EBITDA estimates and strong growth in its users. It reported 30.5 million users, up 16.9% year on year.
Is Lyft a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Lyft’s revenue to grow 13.9% year on year, improving from the 10.7% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Lyft has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Lyft’s peers in the gig economy segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Fiverr’s revenues decreased 15.8% year on year, beating analysts’ expectations by 8.4%, and Angi reported a revenue decline of 8.9%, in line with consensus estimates. Fiverr traded up 3.8% following the results.
Read our full analysis of Fiverr’s results here and Angi’s results here.
There has been positive sentiment among investors in the gig economy segment, with share prices up 4.4% on average over the last month. Lyft is up 5.6% during the same time and is heading into earnings with an average analyst price target of $19.33 (compared to the current share price of $16.61).
ONE MORE THING: The $21 AI Application Stock Wall Street Forgot. While Wall Street obsesses over who’s building AI, one company is already using it to print money. And nobody’s paying attention.
AI chip stocks trade at ridiculous valuations. This company processes a trillion consumer signals monthly using AI and trades at a third of the price. The gap won’t last. The institutions will figure it out. You need to see this first. Read the FREE Report Before They Notice.
