Lemonade (NYSE:LMND) Stock Price Up 6.5% – Should You Buy?

Shares of Lemonade, Inc. (NYSE:LMND) were up 6.5% during mid-day trading on Monday . The company traded as high as $54.27 and last traded at $54.68. Approximately 227,562 shares were traded during trading, a decline of 90% from the average daily volume of 2,272,109 shares. The stock had previously closed at $51.35.

Analyst Upgrades and Downgrades

LMND has been the subject of a number of research reports. Keefe, Bruyette & Woods raised their price target on shares of Lemonade from $40.00 to $44.00 and gave the company an “underperform” rating in a report on Tuesday, February 24th. Citizens Jmp decreased their price objective on Lemonade from $85.00 to $80.00 and set a “market outperform” rating on the stock in a research report on Thursday, April 30th. Truist Financial lowered their target price on Lemonade from $98.00 to $70.00 and set a “buy” rating for the company in a research note on Wednesday, April 29th. Piper Sandler dropped their target price on Lemonade from $65.00 to $62.00 and set a “neutral” rating for the company in a research report on Thursday, April 30th. Finally, Morgan Stanley set a $80.00 price target on Lemonade in a report on Friday, May 8th. Five analysts have rated the stock with a Buy rating, one has given a Hold rating and three have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Lemonade presently has an average rating of “Hold” and a consensus price target of $64.25.

Lemonade Stock Performance

The company has a 50-day moving average price of $60.26 and a 200-day moving average price of $68.76. The firm has a market capitalization of $4.11 billion, a P/E ratio of -28.59 and a beta of 1.85.

Lemonade (NYSE:LMND) last released its quarterly earnings data on Wednesday, April 29th. The company reported ($0.47) EPS for the quarter, beating analysts’ consensus estimates of ($0.58) by $0.11. Lemonade had a negative return on equity of 26.52% and a negative net margin of 16.44%.The business had revenue of $258.00 million during the quarter, compared to the consensus estimate of $251.51 million. During the same quarter in the prior year, the company posted ($0.86) earnings per share. The firm’s revenue was up 70.6% on a year-over-year basis. Equities analysts predict that Lemonade, Inc. will post -1.67 EPS for the current year.

Insiders Place Their Bets

In related news, insider John Sheldon Peters sold 3,571 shares of Lemonade stock in a transaction that occurred on Wednesday, March 4th. The shares were sold at an average price of $52.50, for a total transaction of $187,477.50. Following the transaction, the insider owned 76,729 shares of the company’s stock, valued at $4,028,272.50. This trade represents a 4.45% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Over the last 90 days, insiders have sold 5,567 shares of company stock worth $287,517. 12.50% of the stock is owned by company insiders.

Institutional Investors Weigh In On Lemonade

Several hedge funds have recently bought and sold shares of LMND. Price T Rowe Associates Inc. MD boosted its position in shares of Lemonade by 186.0% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 1,484,175 shares of the company’s stock worth $105,644,000 after purchasing an additional 965,321 shares in the last quarter. JPMorgan Chase & Co. raised its stake in Lemonade by 30.8% during the 3rd quarter. JPMorgan Chase & Co. now owns 3,506,171 shares of the company’s stock worth $187,685,000 after buying an additional 825,522 shares during the period. BIT Capital GmbH lifted its holdings in Lemonade by 69.3% during the third quarter. BIT Capital GmbH now owns 1,254,345 shares of the company’s stock worth $67,145,000 after acquiring an additional 513,424 shares in the last quarter. Man Group plc bought a new position in Lemonade during the fourth quarter worth about $25,978,000. Finally, Goldman Sachs Group Inc. grew its stake in Lemonade by 50.6% in the fourth quarter. Goldman Sachs Group Inc. now owns 866,476 shares of the company’s stock valued at $61,676,000 after acquiring an additional 291,122 shares during the period. 80.30% of the stock is currently owned by institutional investors and hedge funds.

Lemonade Company Profile

Lemonade, Inc (NYSE: LMND) is a New York–based technology-driven insurance carrier that leverages artificial intelligence and behavioral economics to streamline the purchase and management of policies. Founded in 2015, the company offers renters, homeowners, pet, term life and car insurance products tailored for digitally savvy consumers. By automating underwriting and claims processing through chatbots and machine learning, Lemonade aims to deliver a more transparent and user-friendly experience than traditional insurers.

The company’s product suite includes standalone policies for renters and homeowners, customizable pet insurance plans, and term life coverage with simple online applications.