Earnings To Watch: Lyft Reports Q4 Results Tomorrow

Adam Hejl /
2022/02/07 6:00 am EST
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Ride sharing service Lyft (NASDAQ: LYFT) will be announcing earnings results tomorrow after market hours. Here's what to expect.

Last quarter Lyft reported revenues of $864.4 million, up 72.9% year on year, in line with analyst expectations. It was an impressive quarter for the company, with an exceptional revenue growth and growing number of users. Active Riders were up 6.42 million year over year to 18.9 million.

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 70% year on year to $969.3 million, improving on the 43.9% year-over-year decline in revenue the company had recorded in the same quarter last year. Earnings are expected to come in at $0.06 per share.

Lyft Total Revenue

Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company only missed Wall St's revenue estimates once over the last two years, and has on average exceeded top line expectations by 4.81%.

Looking at Lyft's peers in the consumer internet segment, social networks have already reported Q4 earnings results. Snap delivered top-line growth of 42.4% year on year, beating analyst estimates by 8.05% and Meta reported revenues up 19.9% year on year, exceeding estimates by 0.68%. Snap traded up 58.7% on results, Meta was down 26.3%. Read our full analysis of Snap's results here and Meta's results here. Uber is reporting Wednesday after market close.

There has been a stampede out of high valuation technology stocks and while some of the consumer internet stocks have fared somewhat better, they have not been spared, with share price declining 12% over the last month. Lyft is down 13.8% during the same time, and is heading into the earnings with analyst price target of $69.2, compared to share price of $38.

One way to find opportunities in the market is to watch for generational shifts in the economy. Almost every company is slowly finding itself becoming a technology company and facing cybersecurity risks and as a result, the demand for cloud-native cybersecurity is skyrocketing. This company is leading a massive technological shift in the industry and with revenue growth of 70% year on year and best-in-class SaaS metrics it should definitely be on your radar.

The author has no position in any of the stocks mentioned.