Lemonade (NYSE:LMND) Shares Down 11.3% – Here’s Why

Lemonade, Inc. (NYSE:LMND)’s share price fell 11.3% during trading on Thursday . The stock traded as low as $61.50 and last traded at $60.7410. 1,245,681 shares changed hands during trading, a decline of 47% from the average session volume of 2,363,300 shares. The stock had previously closed at $68.49.

Analyst Ratings Changes

LMND has been the subject of several recent analyst reports. Morgan Stanley set a $85.00 target price on shares of Lemonade and gave the stock an “equal weight” rating in a research report on Tuesday, December 16th. Keefe, Bruyette & Woods boosted their price objective on Lemonade from $35.00 to $40.00 and gave the stock an “underperform” rating in a research report on Tuesday, November 25th. Citizens Jmp raised their target price on Lemonade from $60.00 to $80.00 and gave the company a “market outperform” rating in a research report on Monday, November 24th. Cantor Fitzgerald lifted their target price on Lemonade from $85.00 to $92.00 and gave the company an “overweight” rating in a research note on Wednesday, January 14th. Finally, Citigroup reissued an “outperform” rating on shares of Lemonade in a research note on Friday, January 16th. Four investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and three have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $71.50.

Lemonade Price Performance

The stock has a market cap of $4.64 billion, a P/E ratio of -25.96 and a beta of 2.03. The company has a fifty day moving average of $79.72 and a 200 day moving average of $65.17.

Insider Transactions at Lemonade

In related news, CEO Daniel A. Schreiber sold 126,625 shares of Lemonade 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 transaction, the chief executive officer directly owned 1,523,534 shares of the company’s stock, valued at $144,339,611.16. The trade was a 7.67% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Debra Schwartz sold 4,200 shares of the business’s stock in a transaction dated Thursday, December 11th. The stock was sold at an average price of $83.59, for a total transaction of $351,078.00. Following the completion of the sale, the director owned 21,567 shares in the company, valued at approximately $1,802,785.53. This trade represents a 16.30% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 269,470 shares of company stock valued at $23,385,110 in the last quarter. Company insiders own 14.70% of the company’s stock.

Institutional Trading of Lemonade

A number of hedge funds and other institutional investors have recently made changes to their positions in LMND. Federated Hermes Inc. grew its position in Lemonade by 195.9% in the third quarter. Federated Hermes Inc. now owns 157,592 shares of the company’s stock worth $8,436,000 after buying an additional 104,342 shares during the last quarter. Analyst IMS Investment Management Services Ltd. lifted its position in shares of Lemonade by 80.7% during the 2nd quarter. Analyst IMS Investment Management Services Ltd. now owns 571,768 shares of the company’s stock valued at $25,049,000 after acquiring an additional 255,368 shares during the last quarter. Halter Ferguson Financial Inc. boosted its stake in shares of Lemonade by 101.3% during the 3rd quarter. Halter Ferguson Financial Inc. now owns 575,906 shares of the company’s stock worth $30,828,000 after acquiring an additional 289,803 shares in the last quarter. Bank of New York Mellon Corp grew its holdings in shares of Lemonade by 4.3% in the 2nd quarter. Bank of New York Mellon Corp now owns 160,328 shares of the company’s stock worth $7,024,000 after acquiring an additional 6,646 shares during the last quarter. Finally, Titleist Asset Management LLC acquired a new stake in shares of Lemonade during the second quarter worth $203,000. 80.30% of the stock is currently owned by institutional investors.

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.