Shares of Lyft Inc (NASDAQ: LYFT) climbed in early trading on Wednesday, after the company reported upbeat results for the fourth quarter.
The results came amid an exciting earnings season. Here are some key analyst takeaways from the release.
Truist Securities On Lyft
Analyst Youssef Squali maintained a Hold rating, while raising the price target from $13 to $15.
“Lyft’s strategy early last year to lean in on pricing, on the customer experience and on product improvements as competitive differentiators bore fruit in 4Q23, with results showing accelerating growth in rides & rides’ frequency,” Squali wrote in a note.
“A healthier marketplace and sustained momentum QTD bodes well for 1Q, driving higher than expected guidance, while directional 2024 commentary reflects a better growth outlook,” he added.
Piper Sandler On Lyft
Analyst Alexander Potter reiterated an Overweight rating, while lifting the price target from $14 to $17.
Lyft reported gross bookings of $3.72 billion for the fourth quarter, exceeding its guidance of $3.6 billion to $3.7 billion, Potter said. The performance of the stock in after-hours trading was “most likely” due to the company’s better-than-expected guidance for gross bookings in 2024, “as well as expectations for higher margins and positive FCF,” the analyst stated. “EBITDA margin as a % of GB is expected to expand 50 bps, to 2.1% in 2024,” he added.
Wedbush On Lyft
Analyst Scott Devitt reaffirmed a Neutral rating, while raising the price target from $14 to $15.
Lyft reported healthy fourth-quarter results, “with total bookings 1.4% above expectations and adj. EBITDA ~$11mm ahead of consensus,” Devitt said. “Importantly, management expects 2024 rides to grow mid-teens Y/Y and gross bookings to grow slightly faster driven by modest growth in bookings per ride,” he added.
“We are encouraged by the improving intermediate-term growth trajectory of the business and are raising our bookings and revenue estimates to reflect rising trip frequency and modest growth in bookings per ride this year,” the analyst further wrote.
Check out other analyst stock ratings.
RBC Capital Markets On Lyft
Analyst Scott Devitt reiterated a Sector Perform rating, while lifting the price target from $15 to $17.
Lyft’s fourth-quarter report indicated that the…
Click Here to Read the Full Original Article at Cryptocurrencies Feed…
