Lyft Inc [NASDAQ: LYFT] stock went on an upward path that rose over 4.18% on Monday, amounting to a one-week price increase of more than 0.84%. The company report on February 23, 2024 at 1:08 AM that Lyft Announces Pricing of Offering of $400 million of Convertible Senior Notes.
Lyft, Inc. (“Lyft”) (NASDAQ: LYFT) today announced the pricing of $400 million aggregate principal amount of Convertible Senior Notes due 2029 (the “notes”) in a private offering (the “offering”) only to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”). Lyft also granted the initial purchasers of the notes an option to purchase, for settlement within a 13-day period beginning on, and including, the date Lyft first issues the notes, up to an additional $60 million aggregate principal amount of the notes, solely to cover over-allotments. The sale of the notes to the initial purchasers is expected to settle on February 27, 2024, subject to customary closing conditions, and is expected to result in approximately $389.6 million in net proceeds to Lyft after deducting the initial purchasers’ discounts and commissions and estimated offering expenses payable by Lyft (assuming no exercise of the initial purchasers’ option to purchase additional notes).
The notes will be senior, unsecured obligations of Lyft. The notes will bear interest at a rate of 0.625% per year. Interest will be payable semi-annually in arrears on March 1 and September 1 of each year, beginning on September 1, 2024. The notes will mature on March 1, 2029, unless earlier redeemed, repurchased or converted. Lyft may not redeem the notes prior to March 5, 2027. Lyft may redeem for cash all or any portion (subject to certain limitations) of the notes, at its option, on or after March 5, 2027 and prior to the 31st scheduled trading day immediately preceding the maturity date, if the last reported sale price of Lyft’s Class A common stock (“Class A common stock”) has been at least 130% of the conversion price then in effect for at least 20 trading days (whether or not consecutive), including the trading day immediately preceding the date on which Lyft provides notice of redemption, during any 30 consecutive trading day period ending on and including the trading day preceding the date on which Lyft provides notice of redemption at a redemption price equal to 100% of the principal amount of the notes to be redeemed, plus any accrued and unpaid interest to, but excluding, the redemption date. No sinking fund is provided for the notes, which means that Lyft is not required to redeem or retire the notes periodically.
Over the last 12 months, LYFT stock rose by 86.98%. The one-year Lyft Inc stock forecast points to a potential downside of -11.56. The average equity rating for LYFT stock is currently 2.67, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $7.18 billion, with 391.24 million shares outstanding and 339.76 million shares in the current float. Compared to the average trading volume of 17.86M shares, LYFT stock reached a trading volume of 14094225 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on Lyft Inc [LYFT]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for LYFT shares is $16.09 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on LYFT stock is a recommendation set at 2.67. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Argus have made an estimate for Lyft Inc shares, keeping their opinion on the stock as Buy, with their previous recommendation back on March 05, 2024. While these analysts kept the previous recommendation, RBC Capital Mkts raised their target price from $17 to $23. The new note on the price target was released on March 04, 2024, representing the official price target for Lyft Inc stock. On January 11, 2024, analysts increased their price target for LYFT shares from 12 to 15.
The Average True Range (ATR) for Lyft Inc is set at 0.97, with the Price to Sales ratio for LYFT stock in the period of the last 12 months amounting to 1.63. The Price to Book ratio for the last quarter was 13.25, with the Price to Cash per share for the same quarter was set at 4.22.
LYFT Stock Performance Analysis:
Lyft Inc [LYFT] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 0.84. With this latest performance, LYFT shares dropped by -5.68% in over the last four-week period, additionally plugging by 59.13% over the last 6 months – not to mention a rise of 86.98% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for LYFT stock in for the last two-week period is set at 59.49, with the RSI for the last a single of trading hit 58.83, and the three-weeks RSI is set at 59.44 for Lyft Inc [LYFT]. The present Moving Average for the last 50 days of trading for this stock 14.79, while it was recorded at 17.79 for the last single week of trading, and 12.14 for the last 200 days.
Insight into Lyft Inc Fundamentals:
Lyft Inc’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.87 and a Current Ratio set at 0.87.
LYFT Stock EPS
With the latest financial reports released by the company, Lyft Inc posted 0.07/share EPS, while the average EPS was predicted by analysts to be reported at -0.06/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 216.70%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for LYFT. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Lyft Inc go to 11.20%.
Lyft Inc [LYFT] Institutonal Ownership Details
The top three institutional holders of LYFT stocks are: VANGUARD GROUP INC with ownership of 1.3 billion shares, which is approximately 8.2815%. BLACKROCK INC., holding 1.03 billion shares of the stock with an approximate value of $176.59 billion in LYFT stocks shares; and BERKSHIRE HATHAWAY INC, currently with $156.75 billion in LYFT stock with ownership which is approximately 5.8325%.
