Lemonade (NYSE:LMND) Shares Gap Up – Should You Buy?

Lemonade, Inc. (NYSE:LMND)’s stock price gapped up prior to trading on Monday . The stock had previously closed at $41.91, but opened at $44.91. Lemonade shares last traded at $44.85, with a volume of 1,440,820 shares trading hands.

Wall Street Analyst Weigh In

A number of analysts have recently issued reports on LMND shares. BMO Capital Markets increased their target price on Lemonade from $13.00 to $15.00 and gave the company an “underperform” rating in a report on Thursday, November 21st. Jefferies Financial Group dropped their target price on Lemonade from $15.00 to $14.00 and set an “underperform” rating on the stock in a report on Wednesday, October 9th. Keefe, Bruyette & Woods cut shares of Lemonade from a “market perform” rating to an “underperform” rating and raised their price target for the stock from $18.00 to $21.00 in a report on Thursday, November 7th. JMP Securities upped their price objective on shares of Lemonade from $40.00 to $60.00 and gave the company a “market outperform” rating in a research note on Friday, November 22nd. Finally, Morgan Stanley upgraded shares of Lemonade from an “underweight” rating to an “equal weight” rating and increased their target price for the stock from $23.00 to $42.00 in a research report on Wednesday, November 20th. Three analysts have rated the stock with a sell rating, three have issued a hold rating and one has assigned a buy rating to the company. According to MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $30.43.

Lemonade Trading Down 1.7 %

The stock has a market cap of $3.07 billion, a P/E ratio of -14.14 and a beta of 2.09. The business’s fifty day simple moving average is $32.74 and its 200 day simple moving average is $22.98.

Lemonade (NYSE:LMND) last posted its quarterly earnings results on Wednesday, October 30th. The company reported ($0.95) earnings per share for the quarter, topping analysts’ consensus estimates of ($1.02) by $0.07. The business had revenue of $136.60 million during the quarter, compared to the consensus estimate of $129.10 million. Lemonade had a negative net margin of 43.51% and a negative return on equity of 32.85%. Lemonade’s revenue for the quarter was up 19.3% compared to the same quarter last year. During the same period in the previous year, the firm posted ($0.88) earnings per share. On average, analysts predict that Lemonade, Inc. will post -3.04 earnings per share for the current fiscal year.

Insider Transactions at Lemonade

In other news, COO Adina Eckstein sold 23,644 shares of Lemonade stock in a transaction on Thursday, November 21st. The shares were sold at an average price of $50.00, for a total transaction of $1,182,200.00. Following the transaction, the chief operating officer now directly owns 189,653 shares of the company’s stock, valued at $9,482,650. This trade represents a 11.09 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Maria Angelidis-Smith acquired 15,042 shares of the stock in a transaction that occurred on Wednesday, November 13th. The stock was purchased at an average price of $33.23 per share, with a total value of $499,845.66. Following the transaction, the director now owns 33,554 shares in the company, valued at $1,114,999.42. This represents a 81.26 % increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last ninety days, insiders sold 142,842 shares of company stock worth $5,727,453. 12.50% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Lemonade

Institutional investors have recently modified their holdings of the business. Blue Trust Inc. raised its holdings in Lemonade by 220.0% during the 3rd quarter. Blue Trust Inc. now owns 2,733 shares of the company’s stock worth $45,000 after buying an additional 1,879 shares during the period. Point72 Asia Singapore Pte. Ltd. raised its holdings in shares of Lemonade by 321.3% during the third quarter. Point72 Asia Singapore Pte. Ltd. now owns 4,462 shares of the company’s stock worth $74,000 after acquiring an additional 3,403 shares during the period. Quest Partners LLC lifted its position in Lemonade by 1,647.6% in the 3rd quarter. Quest Partners LLC now owns 9,105 shares of the company’s stock valued at $150,000 after acquiring an additional 8,584 shares in the last quarter. Concurrent Investment Advisors LLC acquired a new position in Lemonade in the 2nd quarter worth $180,000. Finally, Bristlecone Advisors LLC bought a new position in Lemonade during the 3rd quarter worth about $218,000. Institutional investors own 80.30% of the company’s stock.

Lemonade Company Profile

Lemonade, Inc provides various insurance products through various channels in the United States, Europe, and the United Kingdom. Its insurance products include stolen or damaged property, and personal liability that protects its customers if they are responsible for an accident or damage to another person or their property.