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Winners And Losers Of Q1: Lyft (NASDAQ:LYFT) Vs The Rest Of The Gig Economy Stocks


Kayode Omotosho /
2022/06/27 4:30 am EDT
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Looking back on gig economy stocks' Q1 earnings, we examine this quarters’ best and worst performers, 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 decent Q1; on average, revenues beat analyst consensus estimates by 4.3%, while on average next quarter revenue guidance was 6.34% under consensus. Tech stocks have been under pressure since the end of last year, but gig economy stocks held their ground better than others, with share price down 7.3% since earnings, on average.

Lyft (NASDAQ:LYFT)

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 $875.5 million, up 43.7% year on year, beating analyst expectations by 3.46%. Despite the stock dropping on the results, it was still a decent quarter for the company, with strong revenue growth and a growing number of users.

“Q1 was better than we expected and rideshare ride volumes reached a new COVID high,” said Logan Green, co-founder and chief executive officer of Lyft.

Lyft Total Revenue

The company reported 17.8 million paying users, up 31.9% year on year. The stock is down 45.8% since the results and currently trades at $16.61.

Is now the time to buy Lyft? Access our full analysis of the earnings results here, it's free.

Best Q1: 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 $6.85 billion, up 136% year on year, beating analyst expectations by 12.3%. It was a very strong quarter for the company, with an impressive beat of analyst estimates and an exceptional revenue growth.

Uber Total Revenue

Uber achieved the strongest analyst estimates beat and fastest revenue growth among its peers. The company reported 115 million paying users, up 11.6% year on year. The stock is down 20.9% since the results and currently trades at $23.29.

Is now the time to buy Uber? Access our full analysis of the earnings results here, it's free.

Slowest Q1: 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 $436.1 million, up 12.6% year on year, beating analyst expectations by 1.38%. It was a weak quarter for the company, with declining number of users and a slow revenue growth.

Angi had the slowest revenue growth in the group. The company reported 6.7 million service requests, down 13.1% year on year. The stock is up 39.6% since the results and currently trades at $5.

Read our full analysis of Angi's results here.

Fiverr (NYSE:FVRR)

Based in Tel Aviv, Fiverr (NYSE: FVRR) operates a fixed price global freelance marketplace for digital services.

Fiverr reported revenues of $86.6 million, up 26.8% year on year, missing analyst expectations by 0.01%. It was a weak quarter for the company, with revenue guidance for both the next quarter and the full year below analysts' estimates.

Fiverr had the weakest performance against analyst estimates among the peers. The company reported 4.2 million active buyers, up 10.5% year on year. The stock is down 2.05% since the results and currently trades at $40.

Read our full, actionable report on Fiverr here, it's free.

The author has no position in any of the stocks mentioned