Lemonade (NYSE:LMND) Shares Gap Up After Analyst Upgrade

Lemonade, Inc. (NYSE:LMND) gapped up before the market opened on Tuesday after Morgan Stanley upgraded the stock from an equal weight rating to an overweight rating. The stock had previously closed at $57.74, but opened at $62.43. Morgan Stanley now has a $85.00 price target on the stock, up from their previous price target of $80.00. Lemonade shares last traded at $66.0230, with a volume of 1,473,547 shares trading hands.

Other equities analysts have also issued research reports about the company. Citigroup reiterated an “outperform” rating on shares of Lemonade in a research report on Friday, January 16th. Truist Financial began coverage on Lemonade in a research note on Tuesday, January 6th. They issued a “buy” rating and a $98.00 target price on the stock. Piper Sandler set a $65.00 price target on shares of Lemonade in a research note on Thursday, February 19th. Cantor Fitzgerald raised their price objective on Lemonade from $85.00 to $92.00 and gave the company an “overweight” rating in a research note on Wednesday, January 14th. Finally, Citizens Jmp set a $80.00 price target on shares of Lemonade in a report on Monday, November 24th. Five analysts have rated the stock with a Buy rating, one has issued a Hold rating and three have assigned a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $68.75.

Insider Buying and Selling at Lemonade

In related news, insider John Sheldon Peters sold 10,000 shares of the stock in a transaction on Tuesday, January 6th. The stock was sold at an average price of $80.00, for a total value of $800,000.00. Following the sale, the insider owned 60,771 shares in the company, valued at approximately $4,861,680. This represents a 14.13% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Daniel A. Schreiber sold 126,625 shares of the firm’s stock in a transaction dated Thursday, January 22nd. The stock was sold at an average price of $94.74, for a total transaction of $11,996,452.50. Following the sale, the chief executive officer owned 1,523,534 shares of the company’s stock, valued at approximately $144,339,611.16. This represents a 7.67% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 160,300 shares of company stock valued at $14,796,026 in the last 90 days. 12.50% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Lemonade

Institutional investors have recently made changes to their positions in the stock. Price T Rowe Associates Inc. MD boosted its holdings in shares of Lemonade by 186.0% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 1,484,175 shares of the company’s stock valued at $105,644,000 after purchasing an additional 965,321 shares in the last quarter. JPMorgan Chase & Co. lifted its position in shares of Lemonade by 30.8% during the 3rd quarter. JPMorgan Chase & Co. now owns 3,506,171 shares of the company’s stock worth $187,685,000 after buying an additional 825,522 shares during the last quarter. BIT Capital GmbH lifted its position in shares of Lemonade by 69.3% during the 3rd quarter. BIT Capital GmbH now owns 1,254,345 shares of the company’s stock worth $67,145,000 after buying an additional 513,424 shares during the last quarter. Jump Financial LLC boosted its stake in Lemonade by 365.8% in the second quarter. Jump Financial LLC now owns 581,378 shares of the company’s stock valued at $25,470,000 after buying an additional 456,571 shares in the last quarter. Finally, Man Group plc bought a new position in Lemonade in the fourth quarter valued at about $25,978,000. 80.30% of the stock is currently owned by institutional investors.

Lemonade Stock Up 15.9%

The stock has a market cap of $5.11 billion, a price-to-earnings ratio of -29.60 and a beta of 2.12. The company has a 50 day simple moving average of $69.77 and a 200 day simple moving average of $66.43.

Lemonade (NYSE:LMND) last announced its quarterly earnings results on Wednesday, February 18th. The company reported ($0.29) earnings per share (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 31.19%. The firm’s revenue was up 53.3% on a year-over-year basis. During the same quarter last year, the firm posted ($0.42) EPS. As a group, analysts predict that Lemonade, Inc. will post -3.03 earnings per share for the current fiscal year.

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.