Lemonade, Inc. (NYSE:LMND) Receives Consensus Recommendation of “Hold” from Brokerages

Lemonade, Inc. (NYSE:LMND) has been given an average recommendation of “Hold” by the nine analysts that are covering the stock, MarketBeat.com reports. Three analysts have rated the stock with a sell recommendation, two have assigned a hold recommendation and four have given a buy recommendation to the company. The average 12 month price target among brokerages that have issued a report on the stock in the last year is $71.7143.

Several research firms have commented on LMND. Cantor Fitzgerald boosted their target price on shares of Lemonade from $85.00 to $92.00 and gave the stock an “overweight” rating in a research report on Wednesday, January 14th. Truist Financial began coverage on shares of Lemonade in a research note on Tuesday, January 6th. They issued a “buy” rating and a $98.00 price objective for the company. Weiss Ratings reissued a “sell (d-)” rating on shares of Lemonade in a research report on Thursday, January 22nd. Citigroup restated an “outperform” rating on shares of Lemonade in a report on Friday, January 16th. Finally, Morgan Stanley set a $85.00 price target on Lemonade and gave the stock an “equal weight” rating in a research report on Tuesday, December 16th.

Key Stories Impacting Lemonade

Here are the key news stories impacting Lemonade this week:

• Positive Sentiment: Q4 beat and strong top-line: Lemonade reported a clearer-than-expected beat on both EPS (loss narrower than expected) and revenue, with FY‑2026 revenue guidance raised above consensus — evidence the growth story is intact. Lemonade Announces Fourth Quarter and Full-Year 2025 Financial Results
• Positive Sentiment: Margin improvement and cash generation: Management highlighted wider gross margins, free cash flow turning positive ($37M) and a moved-up timeline to adjusted‑EBITDA positivity and profitability — a major de‑risk for growth investors. Lemonade’s Sweet Results Refresh Market Appetite: Rebound Ahead
• Positive Sentiment: Bullish flow and investor interest: Heavy pre/post-earnings call option activity (large call purchases) and premarket buying signaled speculative bullishness and helped fuel the earlier jump. Lemonade (LMND) Stock Jumps 17% After Q4 Earnings Beat
• Neutral Sentiment: Analyst/valuation re-check: Coverage notes the upside from results but many houses remain cautious or neutral; MarketBeat shows a mixed analyst consensus and a ~$70 blended target — supportive but not runaway bullish. Lemonade (LMND) Valuation Check After Encouraging Q4 Results And Outlook
• Neutral Sentiment: Product & AI roadmap: Coverage highlights accelerating growth levers (Pet, Car, Europe) and ongoing AI investment (including autonomous car insurance experiments) — long‑term positives that may take quarters to fully monetize. LMND Q4 Deep Dive: Accelerating Growth, Autonomous Car Insurance, and AI Investment Shape 2026 Outlook
• Negative Sentiment: Near-term underwriting headwinds: ADR dipped modestly due to non-renewals of poorly performing policies — improves portfolio quality but can pressure near-term retention/premium metrics. Lemonade’s Sweet Results Refresh Market Appetite: Rebound Ahead
• Negative Sentiment: High short interest and volatility risk: Short interest remains elevated (~18%) and institutional trading has been heavy, so price swings and pullbacks (profit‑taking) are likely until further confirmatory quarters or analyst upgrades. Lemonade’s Sweet Results Refresh Market Appetite: Rebound Ahead

Insider Activity

In other Lemonade news, Director Debra Schwartz sold 4,200 shares of the business’s stock in a transaction on Thursday, December 11th. The shares were sold at an average price of $83.59, for a total transaction of $351,078.00. Following the completion of the transaction, the director owned 21,567 shares of the company’s stock, valued at $1,802,785.53. The trade was a 16.30% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider John Sheldon Peters sold 9,000 shares of the stock in a transaction dated Thursday, January 22nd. The shares were sold at an average price of $90.00, for a total transaction of $810,000.00. Following the completion of the sale, the insider owned 70,228 shares of the company’s stock, valued at approximately $6,320,520. The trade was a 11.36% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 250,540 shares of company stock valued at $22,007,574 over the last three months. Corporate insiders own 14.70% of the company’s stock.

Institutional Investors Weigh In On Lemonade

Hedge funds have recently made changes to their positions in the company. TD Waterhouse Canada Inc. grew its stake in Lemonade by 3.4% during the fourth quarter. TD Waterhouse Canada Inc. now owns 3,671 shares of the company’s stock worth $261,000 after buying an additional 121 shares during the last quarter. 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 valued at $592,000 after acquiring an additional 140 shares during the last quarter. AQR Capital Management LLC boosted its holdings in shares of Lemonade by 0.7% in the 4th quarter. AQR Capital Management LLC now owns 21,569 shares of the company’s stock worth $1,535,000 after acquiring an additional 159 shares in the last quarter. Titleist Asset Management LLC grew its position in Lemonade by 4.1% during the 3rd quarter. Titleist Asset Management LLC now owns 4,832 shares of the company’s stock worth $259,000 after acquiring an additional 189 shares during the last quarter. Finally, Wealth Enhancement Advisory Services LLC grew its position in Lemonade by 2.7% during the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 8,431 shares of the company’s stock worth $600,000 after acquiring an additional 219 shares during the last quarter. Institutional investors and hedge funds own 80.30% of the company’s stock.

Lemonade Stock Down 7.2%

Shares of Lemonade stock opened at $57.23 on Friday. Lemonade has a 12-month low of $24.31 and a 12-month high of $99.90. The firm has a market capitalization of $4.28 billion, a PE ratio of -25.32 and a beta of 2.03. The stock’s fifty day moving average is $77.49 and its 200-day moving average is $66.22.

Lemonade (NYSE:LMND) last issued its quarterly earnings results on Thursday, February 19th. The company reported ($0.29) EPS for the quarter, beating the consensus estimate of ($0.41) by $0.12. Lemonade had a negative net margin of 22.43% and a negative return on equity of 31.25%. The business had revenue of $228.10 million during the quarter, compared to the consensus estimate of $218.07 million. During the same quarter in the prior year, the firm earned ($0.42) EPS. The firm’s quarterly revenue was up 53.3% on a year-over-year basis. Analysts expect that Lemonade will post -3.03 EPS for the current year.

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.