Lemonade (NYSE:LMND) Reaches New 52-Week Low – What’s Next?

Lemonade, Inc. (NYSE:LMND) hit a new 52-week low during mid-day trading on Wednesday. The company traded as low as $45.76 and last traded at $45.8850, with a volume of 231836 shares. The stock had previously closed at $47.69.

Analysts Set New Price Targets

A number of research analysts have recently commented on the company. Wall Street Zen upgraded Lemonade from a “sell” rating to a “hold” rating in a report on Saturday, September 19th. Piper Sandler lowered their price target on Lemonade from $75.00 to $51.00 and set a “neutral” rating for the company in a report on Thursday, July 30th. Morgan Stanley dropped their price target on shares of Lemonade from $65.00 to $56.00 and set an “equal weight” rating on the stock in a research note on Wednesday, August 19th. TD Cowen restated a “hold” rating on shares of Lemonade in a research report on Monday, June 8th. Finally, Keefe, Bruyette & Woods upgraded shares of Lemonade from an “underperform” rating to a “market perform” rating and set a $48.00 target price for the company in a report on Thursday, July 30th. Four investment analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company has an average rating of “Hold” and a consensus target price of $64.50.

Lemonade Stock Performance

The stock has a market capitalization of $3.50 billion, a price-to-earnings ratio of -24.71 and a beta of 1.87. The business has a 50-day moving average of $53.05 and a 200-day moving average of $57.98.

Lemonade (NYSE:LMND) last released its quarterly earnings results on Tuesday, July 28th. The company reported ($0.56) EPS for the quarter, hitting the consensus estimate of ($0.56). The company had revenue of $294.40 million for the quarter, compared to analyst estimates of $291.01 million. Lemonade had a negative return on equity of 26.78% and a negative net margin of 14.19%.The firm’s revenue was up 79.4% compared to the same quarter last year. During the same quarter in the previous year, the company posted ($0.60) earnings per share. On average, research analysts predict that Lemonade, Inc. will post -1.85 earnings per share for the current fiscal year.

Insider Buying and Selling at Lemonade

In other Lemonade news, insider John Peters sold 11,000 shares of the firm’s stock in a transaction on Thursday, August 13th. The shares were sold at an average price of $52.55, for a total transaction of $578,050.00. Following the transaction, the insider directly owned 76,942 shares of the company’s stock, valued at approximately $4,043,302.10. This trade represents a 12.51% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider Maya Prosor sold 1,040 shares of Lemonade stock in a transaction on Thursday, September 3rd. The shares were sold at an average price of $54.63, for a total transaction of $56,815.20. Following the completion of the transaction, the insider owned 186,533 shares in the company, valued at approximately $10,190,297.79. This represents a 0.55% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 18,592 shares of company stock worth $1,076,326 over the last three months. 12.20% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Lemonade

Institutional investors have recently added to or reduced their stakes in the stock. BlackRock Inc. purchased a new position in Lemonade in the second quarter worth $393,408,000. Bank of New York Mellon Corp acquired a new stake in Lemonade in the second quarter valued at $13,861,000. Canada Pension Plan Investment Board purchased a new stake in shares of Lemonade during the 2nd quarter worth $13,550,000. Bank of America Corp DE purchased a new stake in shares of Lemonade during the 2nd quarter worth $11,569,000. Finally, Man Group plc acquired a new position in shares of Lemonade during the 2nd quarter worth $8,864,000. Institutional investors and hedge funds own 80.30% of the company’s stock.

About Lemonade

Lemonade, Inc is a technology-driven insurance company that offers digital insurance products through its website and mobile applications. Its platform uses automation, artificial intelligence and behavioral economics to streamline policy applications, claims processing and customer service.

The company provides renters, homeowners, pet, term life and automobile insurance. Product availability varies by location, and Lemonade distributes its offerings through regulated insurance entities and licensed partners.