Lyft Reports Mixed Q2 Results

Mobility technology company Lyft, Inc. (LYFT) has announced mixed results for the second quarter ended June 30, 2021. Following the news, shares of the company appreciated marginally to close at $55.58 in the extended trading session.

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Quarterly revenues stood at $765 million, up 125% from the same period last year. Further, it surpassed the consensus estimate of $696.22 million. Loss per share of $0.76 was lower than last year’s loss of $1.41. The street had estimated a loss of $0.24 per share.

Notably, the company reported adjusted EBITDA of $23.8 million, which compares favorably with a loss of $280.3 million registered last year. Lyft’s active riders grew 97.3% and revenue per active rider rose 14.3% to 17,142 and $44.63, respectively.

The CEO of Lyft, Logan Green, said, “We had a great quarter. We beat our outlook across every metric and we have growing momentum. Since our inception, we’ve worked hard to defy the odds with a deep belief in our mission. We’ve consistently innovated and made big bets and this is just the beginning. We want to improve people’s lives with the world’s best transportation and we will continue working to deliver on this goal.” (See Lyft stock chart on TipRanks)

On August 3, Stifel Nicolaus analyst Scott Devitt reiterated a Hold rating on the stock with a price target of $63. The analyst’s price target implies upside potential of 13.8%.

The Wall Street community is cautiously optimistic about the stock with a Moderate Buy consensus based on 15 Buys and 8 Holds. The average Lyft price target of $72.52 implies that the stock has upside potential of 31% from current levels.

Lyft scores an 8 out of 10 on TipRanks’ Smart Score rating system, indicating that the stock has strong potential to outperform market expectations. Shares have gained about 81.6% over the past year.