Lemonade (NYSE:LMND) Cut to Underweight at Morgan Stanley

Morgan Stanley lowered shares of Lemonade (NYSE:LMND) from an equal weight rating to an underweight rating in a report issued on Tuesday, MarketBeat reports. They currently have $24.00 price objective on the stock, down from their previous price objective of $35.00.

Separately, Piper Sandler decreased their target price on Lemonade from $44.00 to $34.00 and set a “neutral” rating on the stock in a research report on Wednesday, February 26th. Four analysts have rated the stock with a sell rating, one has assigned a hold rating and one has given a buy rating to the stock. According to MarketBeat, Lemonade presently has a consensus rating of “Hold” and an average target price of $28.00.

Lemonade Stock Down 12.4 %

Shares of Lemonade stock opened at $26.14 on Tuesday. Lemonade has a 12-month low of $14.03 and a 12-month high of $53.85. The company has a market capitalization of $1.90 billion, a price-to-earnings ratio of -8.60 and a beta of 2.13. The firm’s 50-day moving average price is $33.67 and its two-hundred day moving average price is $32.58.

Lemonade (NYSE:LMND) last posted its quarterly earnings results on Tuesday, February 25th. The company reported ($0.42) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.61) by $0.19. The business had revenue of $148.80 million for the quarter, compared to analyst estimates of $144.78 million. Lemonade had a negative net margin of 43.51% and a negative return on equity of 32.85%. On average, sell-side analysts expect that Lemonade will post -3.03 earnings per share for the current year.

Insider Activity

In related news, insider John Sheldon Peters sold 1,899 shares of the firm’s stock in a transaction on Tuesday, March 4th. The stock was sold at an average price of $33.79, for a total transaction of $64,167.21. Following the completion of the transaction, the insider now directly owns 87,609 shares of the company’s stock, valued at $2,960,308.11. This trade represents a 2.12 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, major shareholder Softbank Group Capital Ltd sold 42,160 shares of the company’s stock in a transaction dated Wednesday, March 26th. The shares were sold at an average price of $37.22, for a total value of $1,569,195.20. Following the completion of the sale, the insider now owns 10,452,476 shares in the company, valued at $389,041,156.72. This trade represents a 0.40 % decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 248,634 shares of company stock valued at $9,219,003. 12.50% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of LMND. Quarry LP raised its stake in Lemonade by 300.4% during the fourth quarter. Quarry LP now owns 933 shares of the company’s stock worth $34,000 after buying an additional 700 shares during the last quarter. Avior Wealth Management LLC bought a new position in shares of Lemonade in the 4th quarter worth about $40,000. Russell Investments Group Ltd. lifted its stake in shares of Lemonade by 318.8% in the 4th quarter. Russell Investments Group Ltd. now owns 1,139 shares of the company’s stock valued at $42,000 after purchasing an additional 867 shares during the period. BNP Paribas bought a new stake in shares of Lemonade during the 4th quarter valued at about $57,000. Finally, PNC Financial Services Group Inc. grew its stake in Lemonade by 116.8% during the fourth quarter. PNC Financial Services Group Inc. now owns 1,596 shares of the company’s stock worth $59,000 after purchasing an additional 860 shares during the period. Institutional investors and hedge funds own 80.30% of the company’s stock.

About Lemonade

Lemonade, Inc provides various insurance products through various channels in the United States, Europe, and the United Kingdom. Its insurance products include stolen or damaged property, and personal liability that protects its customers if they are responsible for an accident or damage to another person or their property.