2023-03-30 08:00:00 ET
Summary
- We’re downgrading Lyft to a hold after news of a new CEO next month.
- We were previously buy-rated on Lyft based on our belief that the company was ripe for a potential takeout scenario.
- We’re more guarded on the stock after incoming CEO David Risher stated that “Lyft is not for sale.”.
- Lyft is struggling to turn profits and compete in a highly fragmented and competitive market.
- The stock is down 21% YTD. We see more downside ahead and recommend investors stay on the sidelines of the stock until we see how the Risher era pans out.
For further details see:
Lyft: New Driver Behind The Wheel, Downgraded To Hold