Lemonade (NYSE:LMND) Trading Down 6.4% – Here’s Why

Lemonade, Inc. (NYSE:LMND) dropped 6.4% during mid-day trading on Tuesday . The company traded as low as $35.65 and last traded at $36.11. Approximately 1,356,275 shares changed hands during mid-day trading, a decline of 15% from the average daily volume of 1,590,000 shares. The stock had previously closed at $38.56.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on the stock. Morgan Stanley upgraded shares of Lemonade from an “underweight” rating to an “equal weight” rating and upped their price objective for the company from $23.00 to $42.00 in a research note on Wednesday, November 20th. Jefferies Financial Group reduced their price objective on Lemonade from $15.00 to $14.00 and set an “underperform” rating for the company in a research report on Wednesday, October 9th. Keefe, Bruyette & Woods downgraded Lemonade from a “market perform” rating to an “underperform” rating and raised their price target for the stock from $18.00 to $21.00 in a research note on Thursday, November 7th. JMP Securities boosted their price target on Lemonade from $40.00 to $60.00 and gave the company a “market outperform” rating in a research note on Friday, November 22nd. Finally, Piper Sandler raised their price objective on shares of Lemonade from $25.00 to $44.00 and gave the company a “neutral” rating in a research report on Thursday, November 21st. Three equities research analysts have rated the stock with a sell rating, three have given a hold rating and one has issued a buy rating to the company. According to MarketBeat, Lemonade has an average rating of “Hold” and an average price target of $30.43.

Lemonade Price Performance

The business has a fifty day moving average price of $39.29 and a 200 day moving average price of $25.49. The company has a market capitalization of $2.46 billion, a price-to-earnings ratio of -11.32 and a beta of 2.17.

Lemonade (NYSE:LMND) last issued its earnings results on Wednesday, October 30th. The company reported ($0.95) EPS for the quarter, topping the consensus estimate of ($1.02) by $0.07. The firm had revenue of $136.60 million during the quarter, compared to analysts’ expectations of $129.10 million. Lemonade had a negative return on equity of 32.85% and a negative net margin of 43.51%. Lemonade’s quarterly revenue was up 19.3% compared to the same quarter last year. During the same period last year, the business earned ($0.88) earnings per share. As a group, sell-side analysts predict that Lemonade, Inc. will post -3.04 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, COO Adina Eckstein sold 23,644 shares of the firm’s stock in a transaction dated Tuesday, November 19th. The stock was sold at an average price of $40.00, for a total value of $945,760.00. Following the transaction, the chief operating officer now owns 189,653 shares in the company, valued at $7,586,120. This trade represents a 11.09 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider John Sheldon Peters sold 1,790 shares of the business’s stock in a transaction dated Tuesday, December 3rd. The stock was sold at an average price of $45.50, for a total value of $81,445.00. Following the sale, the insider now directly owns 88,493 shares of the company’s stock, valued at $4,026,431.50. This represents a 1.98 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 900,499 shares of company stock valued at $39,114,376. 12.50% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Lemonade

Several institutional investors have recently modified their holdings of the stock. Tidal Investments LLC lifted its holdings in shares of Lemonade by 4.6% during the 3rd quarter. Tidal Investments LLC now owns 45,631 shares of the company’s stock valued at $752,000 after purchasing an additional 2,017 shares in the last quarter. Barclays PLC boosted its holdings in shares of Lemonade by 292.5% in the third quarter. Barclays PLC now owns 87,414 shares of the company’s stock valued at $1,443,000 after buying an additional 65,144 shares during the period. Main Management ETF Advisors LLC bought a new stake in shares of Lemonade during the third quarter worth $614,000. State Street Corp increased its holdings in Lemonade by 1.2% during the 3rd quarter. State Street Corp now owns 1,233,662 shares of the company’s stock worth $20,343,000 after purchasing an additional 14,028 shares in the last quarter. Finally, Point72 Asia Singapore Pte. Ltd. boosted its position in Lemonade by 321.3% during the 3rd quarter. Point72 Asia Singapore Pte. Ltd. now owns 4,462 shares of the company’s stock worth $74,000 after acquiring an additional 3,403 shares during the last quarter. 80.30% of the stock is currently owned by institutional investors and hedge funds.

Lemonade Company Profile

Lemonade, Inc provides various insurance products through various channels in the United States, Europe, and the United Kingdom. Its insurance products include stolen or damaged property, and personal liability that protects its customers if they are responsible for an accident or damage to another person or their property.