Skip to Content
Morningstar
Get 14 Days Free

Lyft Inc LYFT

Morningstar Rating
Rating as of

Morningstar’s Analysis

Valuation
Currency in USD
Is it the right time to buy or sell?
Find out with Morningstar Premium
Is it the right time to buy or sell?
Find out with Morningstar Premium

1-Star Price

PREMIUM

5-Star Price

PREMIUM

Economic Moat

PREMIUM

Capital Allocation

PREMIUM

Lyft Reported Strong Q1 Results As Ridehailing Demand Continues To Improve; Raising FVE to $61

Ali Mogharabi Senior Equity Analyst

Analyst Note

| Ali Mogharabi |

Lyft’s first-quarter top- and bottom-line results came in better than the FactSet consensus estimates as demand for its ridehailing service continues to improve, indicated by a strong sequential increase in and steady monetization of riders. Combined with a slower recovery in supply, the increase in demand pushed prices much higher, further contributing to better-than-expected first-quarter net revenue. We think as supply increases prices likely will stabilize and come down in the second half of this year. Until then, Lyft and likely its peer, Uber, will continue to benefit from higher prices. Lyft management’s second-quarter net revenue guidance was higher than our internal projections. The firm also guided for adjusted EBITDA profitability beginning in the third quarter. We still expect full-year adjusted EBITDA profit in 2022 and GAAP profitability in 2024.

Read Full Analysis

Company Profile

Business Description

Lyft is the second- largest ride-sharing service provider in the U.S., connecting riders and drivers over the Lyft app. Lyft recently entered the Canadian market in an effort to expand its market outside the U.S. Incorporated in 2013, Lyft offers a variety of rides via private vehicles, including traditional private rides, shared rides, and luxury ones. Besides ride-share, Lyft also has entered the bike- and scooter-share market to bring multimodal transportation options to users.

Contact
185 Berry Street, Suite 5000
San Francisco, CA, 94107
T +1 844 250-2773
Sector Technology
Industry Software - Application
Most Recent Earnings Mar 31, 2021
Fiscal Year End Dec 31, 2021
Stock Type Speculative Growth
Employees 4,675

Related

Stock Analyst Update
Lyft Reported Strong Q1 Results, Raising FVE
Demand for its ridehailing service continues to improve, indicated by a strong sequential increase in and steady monetization of riders.
Ali Mogharabi
Stock Analyst Update
Uber, Lyft Drivers Remain as Contractors
California voters approved Proposition 22, which allows Uber and Lyft to categorize drivers as contractors.
Ali Mogharabi
Commentary
The Week Ahead: CVS and Berkshire Hathaway to Report Earnings
We also anticipate an earnings report from Uber.
Carole Hodorowicz
Fund Spy
What Medalist Managers Are Buying and Selling
A look at some of the industry leaders' recent moves.
Nicholas Goralka
Stock Strategist
Virus Outbreak Drives Uber and Lyft Growth Lower
But the shares are still worth picking up.
Ali Mogharabi
Our Picks
The 10 Most Popular Stories on Morningstar.com in 2019
Our readers’ tastes can be summed up in two words: income and Vanguard.
Susan Dziubinski
Commentary
The Week Ahead: Housing Market Data and the Fed's Rate Decision
We're expecting earnings results from Adobe as well as the Datadog IPO.
Jess Liu
Stock Strategist Industry Reports
Will Libra Tip the Scales for Facebook or Financial Services?
We don't see the cryptocurrency having much effect at this point.
Ali Mogharabi
Rekenthaler Report
There Is No Technology-Stock Bubble
Today is not the new “New Era.”
John Rekenthaler
Premium Article
10 Tip-Top Stocks
These companies new to our coverage list all earn economic moat ratings of narrow or better.
Susan Dziubinski
The Short Answer
How to Spot a Bargain IPO
We take a look at the valuations of six prominent IPOs.
Karen Wallace
ETF Specialist
Manage Risk, Don't Fear It
There is no avoiding risk, so investors must understand the risks they take and learn how to harness them to their benefit.
Ben Johnson
Stock Strategist
Uber's IPO Looks Attractive
We still value the narrow-moat company at $58 per share, as Uber Eats is outperforming our expectations.
Ali Mogharabi
Premium Article
12 Tech Stocks That Are Getting Stronger
A dozen names in the sector earn positive moat trends—and two of the bunch are on sale.
Susan Dziubinski
US Videos
Investors Should Wait to Take a Lyft
Ali Mogharabi
Stock Analyst Update
Lyft Gets on the Road With IPO
The IPO price is in line with our fair value estimate, and we would recommend a wider margin of safety before investing in this very high uncertainty name.
Ali Mogharabi

Transparency is how we protect the integrity of our work and keep empowering investors to achieve their goals and dreams. And we have unwavering standards for how we keep that integrity intact, from our research and data to our policies on content and your personal data.

We’d like to share more about how we work and what drives our day-to-day business.

We sell different types of products and services to both investment professionals and individual investors. These products and services are usually sold through license agreements or subscriptions. Our investment management business generates asset-based fees, which are calculated as a percentage of assets under management. We also sell both admissions and sponsorship packages for our investment conferences and advertising on our websites and newsletters.

How we use your information depends on the product and service that you use and your relationship with us. We may use it to:

  • Verify your identity, personalize the content you receive, or create and administer your account.
  • Provide specific products and services to you, such as portfolio management or data aggregation.
  • Develop and improve features of our offerings.
  • Gear advertisements and other marketing efforts towards your interests.

To learn more about how we handle and protect your data, visit our privacy center.

Maintaining independence and editorial freedom is essential to our mission of empowering investor success. We provide a platform for our authors to report on investments fairly, accurately, and from the investor’s point of view. We also respect individual opinions––they represent the unvarnished thinking of our people and exacting analysis of our research processes. Our authors can publish views that we may or may not agree with, but they show their work, distinguish facts from opinions, and make sure their analysis is clear and in no way misleading or deceptive.

To further protect the integrity of our editorial content, we keep a strict separation between our sales teams and authors to remove any pressure or influence on our analyses and research.

Read our editorial policy to learn more about our process.