UBER - Lyft Competing In Lock-step With Uber Technologies: Analysts Eye 'Multiple Shots' On Goal For Growth | Benzinga
Lyft, Inc. (NASDAQ:LYFT) released its FY27 targets, where the company said it anticipates a compound annual growth rate of around 15% in gross bookings from full-year 2024 to full-year 2027.
The company maintained its previously announced outlook for the second quarter and directional commentary for 2024.
Here’s a glimpse into analysts’ reactions to the company’s quarterly performance:
- RBC Capital Markets analyst Brad Erickson reiterated the Outperform rating on the stock, with the price forecast of $24.
Positively, the implied ’27 guidance nicely exceeded Street for Bookings, EBITDA and FCF and in particular, the analyst notes.
Erickson particularly highlighted the insurance cost visibility, which should reduce the risk of a nearer-term EBITDA miss.
According to the analyst, LYFT is competing in lock-step with Uber Technologies, Inc. (NYSE:UBER) with multiple shots on goal for growth with improving driver supply, new products, new verticals and partnerships.
The analyst also underscored the firm’s improving visibility on cost drivers, which is likely raising the odds of upward revisions to Street EBITDA estimates.
- BofA Securities analyst Michael McGovern upgraded Lyft to Buy from Underperform, raising the price forecast to $20 from $15.
According to the analyst, Lyft can benefit more than the market from improving macro trends: travel/mobility tailwinds, West Coast/California mobility recovery still ramping, and ...