Lemonade (NYSE:LMND) Downgraded to Sell Rating by Wall Street Zen

Wall Street Zen downgraded shares of Lemonade (NYSE:LMND) from a hold rating to a sell rating in a research report released on Saturday.

Several other brokerages have also recently weighed in on LMND. UBS Group set a $75.00 target price on Lemonade in a report on Thursday, May 21st. Piper Sandler cut their target price on Lemonade from $75.00 to $51.00 and set a “neutral” rating for the company in a research note on Thursday, July 30th. Morgan Stanley reduced their price target on Lemonade from $65.00 to $56.00 and set an “equal weight” rating on the stock in a report on Wednesday. Weiss Ratings reissued a “sell (d-)” rating on shares of Lemonade in a research report on Friday, July 17th. Finally, Keefe, Bruyette & Woods raised shares of Lemonade from an “underperform” rating to a “market perform” rating and set a $48.00 price objective for the company in a report on Thursday, July 30th. Four equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock has an average rating of “Hold” and a consensus price target of $64.50.

Lemonade Price Performance

NYSE LMND opened at $53.29 on Friday. The stock’s 50 day simple moving average is $60.00 and its 200-day simple moving average is $60.00. The company has a market cap of $4.12 billion, a PE ratio of -29.12 and a beta of 1.84. Lemonade has a 1-year low of $46.16 and a 1-year high of $99.90.

Lemonade (NYSE:LMND) last posted its quarterly earnings data on Tuesday, July 28th. The company reported ($0.56) EPS for the quarter, meeting the consensus estimate of ($0.56). Lemonade had a negative return on equity of 26.78% and a negative net margin of 14.19%.The firm had revenue of $294.40 million during the quarter, compared to the consensus estimate of $291.01 million. During the same period in the prior year, the company earned ($0.60) EPS. The firm’s revenue was up 79.4% compared to the same quarter last year. On average, equities research analysts anticipate that Lemonade will post -1.85 EPS for the current fiscal year.

Insider Buying and Selling at Lemonade

In other news, insider John Sheldon Peters sold 11,000 shares of the company’s stock in a transaction on Thursday, August 13th. The stock was sold at an average price of $52.55, for a total value of $578,050.00. Following the transaction, the insider owned 76,942 shares of the company’s stock, valued at $4,043,302.10. This represents a 12.51% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Maya Prosor sold 1,220 shares of the firm’s stock in a transaction dated Wednesday, June 3rd. The stock was sold at an average price of $53.17, for a total value of $64,867.40. Following the sale, the insider directly owned 187,573 shares of the company’s stock, valued at $9,973,256.41. The trade was a 0.65% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last ninety days, insiders sold 21,007 shares of company stock worth $1,198,251. Corporate insiders own 12.20% of the company’s stock.

Institutional Investors Weigh In On Lemonade

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Caitong International Asset Management Co. Ltd boosted its position in shares of Lemonade by 8,080.0% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 409 shares of the company’s stock worth $29,000 after purchasing an additional 404 shares during the period. Northwestern Mutual Wealth Management Co. acquired a new stake in Lemonade in the 4th quarter valued at approximately $33,000. Torren Management LLC purchased a new stake in Lemonade in the fourth quarter valued at approximately $35,000. NewEdge Advisors LLC purchased a new stake in Lemonade in the first quarter valued at approximately $35,000. Finally, Strive Financial Group LLC acquired a new position in Lemonade during the fourth quarter worth $38,000. 80.30% of the stock is owned by hedge funds and other institutional investors.

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.