Wrapping up Q4 earnings, we look at the numbers and key takeaways for the gig economy stocks, including Lyft (NASDAQ:LYFT) and its peers.
The iPhone changed the world, ushering in the era of the “always-on” internet and “on-demand” services - anything someone could want is just a few taps away. Likewise, the gig economy sprang up in a similar fashion, with a proliferation of tech-enabled freelance labor marketplaces, which work hand and hand with many on demand services. Individuals can now work on demand too. What began with tech enabled platforms that aggregated riders and drivers has expanded over the past decade to include food delivery, groceries, and now even a plumber or graphic designer are all just a few taps away.
The 4 gig economy stocks we track reported a strong Q4; on average, revenues beat analyst consensus estimates by 3.72%, while on average next quarter revenue guidance was 0.2% above consensus. Technology stocks have been hit hard on fears of higher interest rates and while some of the gig economy stocks have fared somewhat better, they have not been spared, with share price declining 10.3% since earnings, on average.
Founded by Logan Green and John Zimmer as a long-distance intercity carpooling company Zimride, Lyft (NASDAQ: LYFT) operates a ridesharing network in the US and Canada.
Lyft reported revenues of $969.9 million, up 70.1% year on year, beating analyst expectations by 3.08%. It was a very strong quarter for the company, with an exceptional revenue growth and growing number of users.
“2021 was a big year. We strengthened our financial position and continued investing in exciting growth initiatives. I’m proud of the team for what we’ve accomplished together and I’m looking forward to building on our momentum,” said Logan Green, co-founder and chief executive officer of Lyft.
The company reported 18.7 million active riders, up 49.2% year on year. The stock is down 6.33% since the results and currently trades at $38.65.
Is now the time to buy Lyft? Access our full analysis of the earnings results here, it's free.
Best Q4: Uber (NYSE:UBER)
Born out of a winter night thought: "What if you could request a ride from your phone?" Uber (NYSE: UBER) operates a global network of on demand services, most prominently ride hailing and food delivery, and freight.
Uber reported revenues of $5.77 billion, up 159% year on year, beating analyst expectations by 7.85%. It was a very strong quarter for the company, with an exceptional revenue growth and an impressive beat of analyst estimates.
Uber achieved the strongest analyst estimates beat and fastest revenue growth among its peers. The company reported 118 million paying users, up 26.8% year on year. The stock is down 8.96% since the results and currently trades at $36.57.
Is now the time to buy Uber? Access our full analysis of the earnings results here, it's free.
Weakest Q4: Angi (NASDAQ:ANGI)
Created by IAC’s mergers of Angie’s List and HomeAdvisor, ANGI (NASDAQ: ANGI) operates the largest online marketplace for home services in the US.
Angi reported revenues of $415.8 million, up 15.7% year on year, in line with analyst expectations. It was a weak quarter for the company, with declining number of users and a slow revenue growth.
Angi had the weakest performance against analyst estimates and slowest revenue growth in the group. The company reported 6.89 million service requests, down 4.57% year on year. The stock is down 29.9% since the results and currently trades at $6.22.
Based in Tel Aviv, Fiverr (NYSE: FVRR) operates a fixed price global freelance marketplace for digital services.
Fiverr reported revenues of $79.7 million, up 42.7% year on year, beating analyst expectations by 3.81%. It was a strong quarter for the company, with an exceptional revenue growth and guidance for the next quarter above analysts' estimates.
The company reported 4.2 million active buyers, up 23.5% year on year. The stock is up 4.04% since the results and currently trades at $78.90.
The author has no position in any of the stocks mentioned