Lyft (LYFT) Maintained at Underperform by BofA With $17 PT Following After-Hours Decline

Lyft Inc. (NASDAQ:LYFT) is one of the most undervalued mid cap stocks to buy now. On February 11, Bank of America lowered its price target on Lyft to $17 from $19 with an Underperform rating. This adjustment was made as the firm noted a 16% decline in after-hours trading.

The firm attributed the drop to a Q4 2025 rides miss, a lower Q1 EBITDA outlook, and a lack of insurance savings, which collectively highlight a highly competitive environment. Additionally, BofA observed that while Lyft’s autonomous vehicle commentary remained consistent, the company faces elevated competitive risks from Uber.

Truist lowered its price target on Lyft Inc. (NASDAQ:LYFT) to $18 from $23 while keeping a Hold rating. The firm noted that the company’s in-line Q4 2025 results demonstrate continued improvements in marketplace health, supported by user experience enhancements, new product initiatives, M&A, and a growing partner portfolio. However, the firm pointed out that a more promotional environment led to a slowdown in rides’ growth.

Lyft Inc. (NASDAQ:LYFT) operates a peer-to-peer marketplace for on-demand ridesharing in the US and Canada. The company operates multimodal transportation networks that offer access to various transportation options through the Lyft platform and mobile-based applications.

While we acknowledge the potential of LYFT 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.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.