LYFT Q4 Earnings Miss Estimates: Stock Down 20% Over Last 3 Months, Up 15% YoY
LYFT (NASDAQ: LYFT) has reported its fourth-quarter earnings, revealing EPS of $0.15, which fell short of analyst expectations by $0.06, with the consensus estimate set at $0.21. The company’s revenue for the quarter totaled $1.6 billion, slightly exceeding the expected $1.56 billion. Despite surpassing revenue projections, the disappointing earnings per share (EPS) miss has left investors questioning the company’s future growth trajectory.
Stock Price Performance: A Mixed Picture
Following the earnings announcement, LYFT’s stock price closed at $14.39, reflecting a -20.58% decline over the past three months. However, despite the recent slump, the company has seen a 15.81% increase in its stock price over the last 12 months, which shows that, over the long term, the ride-sharing company has made some recovery.
Earnings Revisions and Market Sentiment
In the last 90 days, LYFT has experienced 8 positive EPS revisions and 2 negative EPS revisions, suggesting that analysts have varied views on the company’s financial performance. These mixed revisions reflect the challenges that LYFT continues to face in an increasingly competitive market for ride-sharing services. Despite the company’s efforts to increase revenue and lower costs, the EPS miss underscores that challenges still persist for the business, particularly in a sector impacted by inflation and other macroeconomic factors.
Stock Price Reactions to Earnings Miss
LYFT’s stock has historically reacted negatively to earnings misses, and this quarter was no exception. Investors appeared disappointed by the underwhelming EPS despite a solid revenue performance. Following the release of the Q4 earnings report, LYFT’s stock saw immediate declines, consistent with past reactions to similar earnings misses.
What’s Next for LYFT?
While LYFT’s stock faces short-term pressure due to this earnings miss, analysts remain divided on the company’s long-term potential. As ride-sharing continues to evolve, the company’s ability to adapt to market conditions will be crucial to maintaining growth momentum. Investors are also closely watching the company’s strategic initiatives to boost revenue streams and improve profitability in 2025.
For now, investors should keep an eye on LYFT’s stock performance and any further analyst revisions, which may provide additional clues about the company’s outlook for the coming quarters.
