Ride sharing service Lyft (NASDAQ: LYFT) will be announcing earnings results this Thursday afternoon. Here’s what investors should know.
Lyft missed analysts’ revenue expectations last quarter, reporting revenues of $1.59 billion, up 2.7% year on year. It was a softer quarter for the company, with a significant miss of analysts’ revenue estimates and EBITDA guidance for next quarter missing analysts’ expectations significantly. It reported 29.2 million users, up 18.2% year on year.
Is Lyft a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Lyft’s revenue to grow 12.7% year on year, in line with the 13.5% increase it recorded in the same quarter last year.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Lyft has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Lyft’s peers in the consumer internet segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Fiverr’s revenues decreased 1.6% year on year, beating analysts’ expectations by 1%, and Angi reported a revenue decline of 3.2%, falling short of estimates by 1%. Fiverr traded up 12.4% following the results.
Read our full analysis of Fiverr’s results here and Angi’s results here.
There has been positive sentiment among investors in the consumer internet segment, with share prices up 11.8% on average over the last month. Lyft is up 3.4% during the same time and is heading into earnings with an average analyst price target of $19.43 (compared to the current share price of $14.17).
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