Lemonade (NYSE:LMND) Stock Price Down 7.4% After Insider Selling

Shares of Lemonade, Inc. (NYSE:LMND) fell 7.4% during mid-day trading on Monday following insider selling activity. The company traded as low as $87.41 and last traded at $86.36. 1,418,681 shares were traded during trading, a decline of 37% from the average session volume of 2,263,787 shares. The stock had previously closed at $93.25.

Specifically, insider John Sheldon Peters sold 9,000 shares of the business’s stock in a transaction dated Thursday, January 22nd. The stock was sold at an average price of $90.00, for a total transaction of $810,000.00. Following the sale, the insider owned 70,228 shares in the company, valued at approximately $6,320,520. The trade was a 11.36% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Daniel A. Schreiber sold 126,625 shares of the business’s stock in a transaction on Thursday, January 22nd. The shares were sold at an average price of $94.74, for a total transaction 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. The SEC filing for this sale provides additional information.

Analyst Upgrades and Downgrades

Several research analysts recently weighed in on LMND shares. Weiss Ratings reissued a “sell (d-)” rating on shares of Lemonade in a research report on Thursday. Keefe, Bruyette & Woods increased their price objective on Lemonade from $35.00 to $40.00 and gave the stock an “underperform” rating in a report on Tuesday, November 25th. JMP Securities set a $80.00 price target on shares of Lemonade in a report on Monday, November 24th. Cantor Fitzgerald upped their price target on shares of Lemonade from $85.00 to $92.00 and gave the company an “overweight” rating in a report on Wednesday, January 14th. Finally, Citigroup reaffirmed an “outperform” rating on shares of Lemonade in a research report on Friday, January 16th. Four investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and three have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, Lemonade presently has a consensus rating of “Hold” and a consensus target price of $71.50.

Lemonade Trading Down 3.8%

The firm has a market cap of $6.70 billion, a P/E ratio of -37.52 and a beta of 1.98. The company’s fifty day moving average price is $78.27 and its two-hundred day moving average price is $62.07.

Lemonade (NYSE:LMND) last announced its quarterly earnings results on Wednesday, November 5th. The company reported ($0.51) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.72) by $0.21. The firm had revenue of $194.50 million during the quarter, compared to the consensus estimate of $185.06 million. Lemonade had a negative net margin of 26.39% and a negative return on equity of 31.86%. The firm’s quarterly revenue was up 42.4% on a year-over-year basis. During the same period last year, the firm posted ($0.95) EPS. On average, analysts predict that Lemonade, Inc. will post -3.03 EPS for the current fiscal year.

Institutional Investors Weigh In On Lemonade

Hedge funds and other institutional investors have recently bought and sold shares of the business. CWM LLC raised its position in Lemonade by 14.5% in the 4th quarter. CWM LLC now owns 2,882 shares of the company’s stock valued at $205,000 after purchasing an additional 364 shares during the last quarter. KBC Group NV lifted its position in Lemonade by 29.1% during the 4th quarter. KBC Group NV now owns 2,070 shares of the company’s stock worth $147,000 after buying an additional 467 shares in the last quarter. Pursue Wealth Partners LLC bought a new stake in Lemonade during the 4th quarter worth about $2,814,000. Farther Finance Advisors LLC increased its position in Lemonade by 127.1% in the 4th quarter. Farther Finance Advisors LLC now owns 1,024 shares of the company’s stock valued at $73,000 after acquiring an additional 573 shares in the last quarter. Finally, Watershed Private Wealth LLC raised its stake in shares of Lemonade by 1.7% in the fourth quarter. Watershed Private Wealth LLC now owns 8,310 shares of the company’s stock worth $592,000 after acquiring an additional 140 shares during the last quarter. 80.30% of the stock is owned by institutional investors and hedge funds.

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.