Life360, Inc. (LIF): A Bull Case Theory

We came across a bullish thesis on Life360, Inc. on TickerTrends Research’s Substack by TickerTrends. In this article, we will summarize the bulls’ thesis on LIF. Life360, Inc.'s share was trading at $77.75 as of August 6^th. LIF’s trailing and forward P/E were 598.08 and 147.06, respectively according to Yahoo Finance.

Life360 is poised to deliver a solid Q2 2025, with TickerTrends projecting $110.2 million in revenue—slightly above the Street’s $109.77 million estimate—driven by continued momentum in Monthly Active Users (MAUs), premium subscriptions, and advertising monetization. KPI tracking indicates MAUs will rise to approximately 87.63 million, up 5.6% QoQ and nearly 15% YoY. Subscription revenue is expected to reach $86 million, marking 5% QoQ and 30.9% YoY growth, while other revenue is forecasted at $13.8 million, benefiting from growing free-user monetization.

Search trends, app usage, and web traffic metrics show stable to accelerating YoY growth, signaling user engagement resilience despite earlier price hikes. YouTube search data reveals surging interest, which is anticipated to enhance ad revenue momentum through H2. Life360's Q3 outlook is strong, supported by back-to-school seasonality, a favorable subscriber tier mix, and possibly scaled pricing adjustments. TickerTrends believes these dynamics will help FY25 subscription revenue land at the high end of the $355–$365 million guidance range. Meanwhile, the Q4 launch of a Pet monitoring product introduces a structural growth vector that could lift ARPPC through bundling and higher-tier conversions, improving retention and long-term pricing power.

On the ad front, the rollout of Place Ads and Uplift by Life360 is gaining traction, offering real-world targeting and offline attribution, which, paired with surging MAUs, should support an upside surprise to full-year ad revenue estimates of $55–$65 million. With accelerating product monetization and subscriber expansion, Life360 appears well-positioned to outperform both Q2 expectations and potentially raise full-year guidance in Q3.

Previously, we covered a bullish thesis on Dave Inc. (DAVE) by Next 100 Baggers in May 2025, which highlighted improved monetization, strong unit economics, and free cash flow positivity. The company's stock price has appreciated by approximately 1.2% since our coverage. This is because the thesis is still playing out gradually. TickerTrends shares a similar view in Life360, emphasizing MAU growth and ad monetization.

Life360, Inc. is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 13 hedge fund portfolios held LIF at the end of the first quarter which was 17 in the previous quarter. While we acknowledge the potential of LIF 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.

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Disclosure: None.