Wall Street analysts forecast that Lemonade (LMND) will report quarterly loss of -$0.41 per share in its upcoming release, pointing to a year-over-year increase of 2.4%. It is anticipated that revenues will amount to $216.67 million, exhibiting an increase of 45.6% compared to the year-ago quarter.
The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.
Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
Given this perspective, it's time to examine the average forecasts of specific Lemonade metrics that are routinely monitored and predicted by Wall Street analysts.
The average prediction of analysts places 'Net investment income' at $10.40 million. The estimate suggests a change of +10.7% year over year.
Analysts expect 'Ceding commission income' to come in at $30.64 million. The estimate suggests a change of +3.5% year over year.
Analysts' assessment points toward 'Commission and other income' reaching $12.77 million. The estimate points to a change of +48.5% from the year-ago quarter.
Analysts forecast 'Net earned premium' to reach $162.87 million. The estimate indicates a change of +60.9% from the prior-year quarter.
The consensus among analysts is that 'In force premium (end of period)' will reach $1.22 billion. Compared to the current estimate, the company reported $943.70 million in the same quarter of the previous year.
Analysts predict that the 'Premium per Customer (end of period)' will reach $406.54 . The estimate is in contrast to the year-ago figure of $388.00 .
According to the collective judgment of analysts, 'Customers (end of period)' should come in at 3,008,014 . The estimate compares to the year-ago value of 2,430,056 .
Based on the collective assessment of analysts, 'Net loss ratio' should arrive at 62.1%. Compared to the current estimate, the company reported 62.0% in the same quarter of the previous year.
The collective assessment of analysts points to an estimated 'Gross loss ratio' of 61.8%. Compared to the present estimate, the company reported 63.0% in the same quarter last year.
View all Key Company Metrics for Lemonade here>>>
Over the past month, shares of Lemonade have returned -22.7% versus the Zacks S&P 500 composite's -2% change. Currently, LMND carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Lemonade, Inc. (LMND): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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