Lyft (LYFT) closed at $10.94 in the latest trading session, marking a -1.97% move from the prior day. The stock outperformed the S&P 500, which registered a daily loss of 2.36%. At the same time, the Dow lost 2.48%, and the tech-heavy Nasdaq lost 2.55%.
The ride-hailing company's shares have seen a decrease of 6.84% over the last month, surpassing the Computer and Technology sector's loss of 8.4% and falling behind the S&P 500's loss of 5.6%.
Market participants will be closely following the financial results of Lyft in its upcoming release. The company plans to announce its earnings on May 8, 2025. The company's upcoming EPS is projected at $0.20, signifying a 33.33% increase compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $1.47 billion, reflecting a 14.9% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.01 per share and revenue of $6.53 billion, indicating changes of +6.32% and +12.94%, respectively, compared to the previous year.
Any recent changes to analyst estimates for Lyft should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 6.34% lower. As of now, Lyft holds a Zacks Rank of #3 (Hold).
Digging into valuation, Lyft currently has a Forward P/E ratio of 11.05. This indicates a discount in contrast to its industry's Forward P/E of 17.47.
One should further note that LYFT currently holds a PEG ratio of 0.52. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. Internet - Services stocks are, on average, holding a PEG ratio of 1.2 based on yesterday's closing prices.
The Internet - Services industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 148, positioning it in the bottom 41% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Lyft, Inc. (LYFT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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