Lemonade (NYSE:LMND) Shares Gap Up Following Analyst Upgrade

Lemonade, Inc. (NYSE:LMND) gapped up before the market opened on Tuesday after Morgan Stanley upgraded the stock from an equal weight rating to an overweight rating. The stock had previously closed at $57.74, but opened at $62.43. Morgan Stanley now has a $85.00 price target on the stock, up from their previous price target of $80.00. Lemonade shares last traded at $66.0230, with a volume of 1,473,547 shares.

Other research analysts have also issued reports about the company. Wolfe Research set a $44.00 price objective on Lemonade in a report on Tuesday, February 24th. Cantor Fitzgerald boosted their target price on shares of Lemonade from $85.00 to $92.00 and gave the company an “overweight” rating in a research report on Wednesday, January 14th. Keefe, Bruyette & Woods upped their price target on shares of Lemonade from $40.00 to $44.00 and gave the company an “underperform” rating in a research note on Tuesday, February 24th. Citigroup reiterated an “outperform” rating on shares of Lemonade in a research note on Friday, January 16th. Finally, Piper Sandler set a $65.00 price objective on shares of Lemonade in a report on Thursday, February 19th. Five equities research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and three have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, Lemonade currently has an average rating of “Hold” and a consensus price target of $68.75.

Insider Buying and Selling at Lemonade

In other news, insider John Sheldon Peters sold 10,000 shares of the company’s stock in a transaction on Tuesday, January 6th. The stock was sold at an average price of $80.00, for a total transaction of $800,000.00. Following the completion of the sale, the insider directly owned 60,771 shares in the company, valued at approximately $4,861,680. This represents a 14.13% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CEO Daniel A. Schreiber sold 126,625 shares of the stock in a transaction on Thursday, January 22nd. The stock was sold at an average price of $94.74, for a total value of $11,996,452.50. Following the sale, the chief executive officer directly owned 1,523,534 shares in the company, valued at approximately $144,339,611.16. This trade represents a 7.67% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 160,300 shares of company stock valued at $14,796,026 over the last ninety days. Insiders own 12.50% of the company’s stock.

Hedge Funds Weigh In On Lemonade

Several hedge funds have recently bought and sold shares of the company. AQR Capital Management LLC lifted its holdings in shares of Lemonade by 107.3% during the 1st quarter. AQR Capital Management LLC now owns 30,490 shares of the company’s stock worth $958,000 after acquiring an additional 15,779 shares during the period. Millennium Management LLC increased its stake in Lemonade by 255.2% in the first quarter. Millennium Management LLC now owns 329,934 shares of the company’s stock valued at $10,370,000 after acquiring an additional 237,044 shares during the last quarter. NewEdge Advisors LLC acquired a new position in Lemonade during the first quarter valued at approximately $35,000. Goldman Sachs Group Inc. raised its position in Lemonade by 7.3% during the first quarter. Goldman Sachs Group Inc. now owns 612,292 shares of the company’s stock valued at $19,244,000 after purchasing an additional 41,759 shares in the last quarter. Finally, Bank of New York Mellon Corp lifted its stake in Lemonade by 4.3% during the second quarter. Bank of New York Mellon Corp now owns 160,328 shares of the company’s stock worth $7,024,000 after purchasing an additional 6,646 shares during the last quarter. 80.30% of the stock is owned by institutional investors.

Lemonade Stock Up 14.9%

The firm has a 50 day simple moving average of $70.03 and a two-hundred day simple moving average of $66.33. The stock has a market capitalization of $5.07 billion, a P/E ratio of -29.07 and a beta of 2.12.

Lemonade (NYSE:LMND) last posted its quarterly earnings results on Wednesday, February 18th. The company reported ($0.29) EPS for the quarter, topping analysts’ consensus estimates of ($0.41) by $0.12. Lemonade had a negative return on equity of 31.19% and a negative net margin of 22.43%.During the same quarter in the previous year, the company posted ($0.42) earnings per share. Lemonade’s revenue was up 53.3% compared to the same quarter last year. On average, research analysts predict that Lemonade, Inc. will post -3.03 earnings per share for the current year.

About Lemonade

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.