Lyft (LYFT) closed the most recent trading day at $15.32, moving +2% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.86%. Meanwhile, the Dow gained 0.98%, and the Nasdaq, a tech-heavy index, added 0.96%.
The ride-hailing company's shares have seen a decrease of 12.32% over the last month, not keeping up with the Computer and Technology sector's loss of 0.56% and the S&P 500's loss of 1.96%.
Analysts and investors alike will be keeping a close eye on the performance of Lyft in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.44, reflecting a 69.23% increase from the same quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $1.93 billion, showing a 14.67% escalation compared to the year-ago quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $1.58 per share and a revenue of $7.32 billion, indicating changes of +229.17% and +15.94%, respectively, from the former year.
Any recent changes to analyst estimates for Lyft should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Right now, Lyft possesses a Zacks Rank of #3 (Hold).
In terms of valuation, Lyft is currently trading at a Forward P/E ratio of 9.51. This signifies a discount in comparison to the average Forward P/E of 15.96 for its industry.
Meanwhile, LYFT's PEG ratio is currently 0.48. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Internet - Services industry currently had an average PEG ratio of 1.48 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 200, positioning it in the bottom 19% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Lyft, Inc. (LYFT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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