BTIG analyst Jake Fuller has maintained their neutral stance on LYFT stock, giving a Hold rating yesterday.
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Jake Fuller has given his Hold rating due to a combination of factors surrounding Lyft’s current market positioning and future growth prospects. One of the key considerations is the potential cost savings from recent legislative changes in California, which could reduce insurance expenses significantly. However, these savings are expected to be partially offset by Lyft’s plans to increase driver pay and reduce fares, which may limit the overall financial benefit.
Another factor influencing the Hold rating is the impact of Lyft’s partnership with DoorDash, which has been a significant driver of growth. While this partnership has contributed positively, there are concerns about future growth once the partnership matures. Additionally, Lyft’s competitive positioning, particularly in the autonomous vehicle space, is perceived as lagging behind its peers. Despite these challenges, the company has made notable progress in areas such as product development and capital allocation, which provides some optimism for future performance.
In another report released yesterday, Bernstein also reiterated a Hold rating on the stock with a $16.00 price target.
Based on the recent corporate insider activity of 69 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of LYFT in relation to earlier this year.