Ride sharing service Lyft (NASDAQ: LYFT) will be reporting earnings tomorrow after market close. Here's what to look for.
Last quarter Lyft reported revenues of $875.5 million, up 43.7% year on year, beating analyst revenue 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. The company reported 17.8 million paying users, up 31.9% year on year.
Is Lyft buy or sell heading into the earnings? Read our full analysis here, it's free.
This quarter analysts are expecting Lyft's revenue to grow 29.2% year on year to $988.5 million, slowing down from the 125% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.05 per share.
The analysts covering the company have had mixed opinions about the business heading into the earnings, with revenue estimates seeing two upward and two downward revisions over the last thirty days.. The company only missed Wall St's revenue estimates once over the last two years, and has on average exceeded top line expectations by 3.33%.
Looking at Lyft's peers in the consumer internet segment, some of them have already reported Q2 earnings results, giving us a hint of what we can expect. Uber delivered top-line growth of 105% year on year, beating analyst estimates by 9.49% and Roku reported revenues up 18.4% year on year, missing analyst estimates by 5%. Roku was down 26.9% on the results, and Uber traded up 15.4% on the results. Read our full analysis of Uber's results here and Roku's results here.
There has been positive sentiment among investors in the consumer internet segment, with the stocks up on average 3.08% over the last month. Lyft is up 15.8% during the same time, and is heading into the earnings with analyst price target of $36.8, compared to share price of $16.49.
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The author has no position in any of the stocks mentioned.