Lemonade (NYSE:LMND) Stock Price Up 11.4% – Here’s Why

Lemonade, Inc. (NYSE:LMND) shares rose 11.4% during trading on Wednesday . The stock traded as high as $60.14 and last traded at $59.6950. Approximately 519,374 shares changed hands during mid-day trading, a decline of 76% from the average daily volume of 2,156,268 shares. The stock had previously closed at $53.58.

Analyst Upgrades and Downgrades

LMND has been the subject of several research analyst reports. Keefe, Bruyette & Woods lifted their price objective on Lemonade from $40.00 to $44.00 and gave the stock an “underperform” rating in a report on Tuesday, February 24th. TD Cowen reaffirmed a “hold” rating on shares of Lemonade in a report on Monday. Citizens Jmp cut their price objective on Lemonade from $85.00 to $80.00 and set a “market outperform” rating for the company in a report on Thursday, April 30th. Wolfe Research set a $44.00 price objective on Lemonade in a report on Tuesday, February 24th. Finally, Morgan Stanley cut their price objective on Lemonade from $80.00 to $75.00 and set an “overweight” rating for the company in a report on Thursday, May 21st. Five analysts have rated the stock with a Buy rating, two have given a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and an average target price of $64.89.

Lemonade Price Performance

The company has a market capitalization of $4.40 billion, a PE ratio of -30.60 and a beta of 1.83. The company has a 50-day moving average of $58.45 and a two-hundred day moving average of $67.03.

Lemonade (NYSE:LMND) last released its earnings results on Tuesday, April 28th. The company reported ($0.47) earnings per share for the quarter, beating the consensus estimate of ($0.58) by $0.11. The company had revenue of $258.00 million for the quarter, compared to the consensus estimate of $251.51 million. Lemonade had a negative return on equity of 26.52% and a negative net margin of 16.44%.Lemonade’s quarterly revenue was up 70.6% compared to the same quarter last year. During the same period in the previous year, the business earned ($0.86) earnings per share. As a group, research analysts anticipate that Lemonade, Inc. will post -1.68 EPS for the current year.

Insider Buying and Selling at Lemonade

In related news, insider Maya Prosor sold 1,220 shares of Lemonade stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $53.17, for a total transaction of $64,867.40. Following the transaction, the insider directly owned 187,573 shares in the company, valued at approximately $9,973,256.41. The trade was a 0.65% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider John Sheldon Peters sold 3,608 shares of Lemonade stock in a transaction on Thursday, June 4th. The shares were sold at an average price of $52.94, for a total value of $191,007.52. Following the transaction, the insider owned 81,386 shares in the company, valued at $4,308,574.84. This trade represents a 4.25% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 6,563 shares of company stock worth $348,125 over the last quarter. 14.70% of the stock is owned by company insiders.

Hedge Funds Weigh In On Lemonade

Several large investors have recently made changes to their positions in LMND. Price T Rowe Associates Inc. MD lifted its position in shares of Lemonade by 186.0% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 1,484,175 shares of the company’s stock valued at $105,644,000 after acquiring an additional 965,321 shares in the last quarter. JPMorgan Chase & Co. lifted its position in shares of Lemonade by 30.8% in the third quarter. JPMorgan Chase & Co. now owns 3,506,171 shares of the company’s stock valued at $187,685,000 after acquiring an additional 825,522 shares in the last quarter. BIT Capital GmbH lifted its position in shares of Lemonade by 69.3% in the third quarter. BIT Capital GmbH now owns 1,254,345 shares of the company’s stock valued at $67,145,000 after acquiring an additional 513,424 shares in the last quarter. Man Group plc purchased a new position in shares of Lemonade in the fourth quarter valued at about $25,978,000. Finally, Goldman Sachs Group Inc. lifted its position in shares of 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 in the last quarter. 80.30% of the stock is currently owned by hedge funds and other institutional investors.

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.