Lemonade (NYSE:LMND) Shares Gap Down – Should You Sell?

Lemonade, Inc. (NYSE:LMND) shares gapped down before the market opened on Tuesday . The stock had previously closed at $36.98, but opened at $35.74. Lemonade shares last traded at $34.75, with a volume of 203,903 shares trading hands.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on LMND. Piper Sandler decreased their target price on Lemonade from $44.00 to $34.00 and set a “neutral” rating on the stock in a research note on Wednesday, February 26th. JMP Securities lifted their target price on Lemonade from $40.00 to $60.00 and gave the company a “market outperform” rating in a research note on Friday, November 22nd. Morgan Stanley raised Lemonade from an “underweight” rating to an “equal weight” rating and lifted their target price for the company from $23.00 to $42.00 in a research note on Wednesday, November 20th. Finally, BMO Capital Markets lifted their target price on Lemonade from $13.00 to $15.00 and gave the company an “underperform” rating in a research note on Thursday, November 21st. Three research analysts have rated the stock with a sell rating, two have given a hold rating and one has issued a buy rating to the company’s stock. According to MarketBeat.com, Lemonade presently has an average rating of “Hold” and an average target price of $31.00.

Lemonade Trading Up 2.3 %

The stock has a 50 day simple moving average of $34.20 and a 200-day simple moving average of $31.05. The firm has a market cap of $2.53 billion, a P/E ratio of -11.43 and a beta of 2.12.

Lemonade (NYSE:LMND) last released its quarterly earnings data on Tuesday, February 25th. The company reported ($0.42) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.61) by $0.19. Lemonade had a negative return on equity of 32.85% and a negative net margin of 43.51%. The business had revenue of $148.80 million for the quarter, compared to the consensus estimate of $144.78 million. As a group, equities analysts forecast that Lemonade, Inc. will post -3.03 earnings per share for the current fiscal year.

Insider Activity

In other news, insider John Sheldon Peters sold 28,985 shares of the business’s stock in a transaction that occurred on Monday, December 30th. The stock was sold at an average price of $38.67, for a total transaction of $1,120,849.95. Following the transaction, the insider now owns 69,508 shares of the company’s stock, valued at approximately $2,687,874.36. The trade was a 29.43 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Corporate insiders own 12.50% of the company’s stock.

Hedge Funds Weigh In On Lemonade

Large investors have recently modified their holdings of the stock. Quarry LP increased its position in shares of Lemonade by 300.4% during the 4th quarter. Quarry LP now owns 933 shares of the company’s stock valued at $34,000 after purchasing an additional 700 shares during the last quarter. Avior Wealth Management LLC purchased a new position in Lemonade during the 4th quarter valued at $40,000. Russell Investments Group Ltd. boosted its holdings in Lemonade by 318.8% during the 4th quarter. Russell Investments Group Ltd. now owns 1,139 shares of the company’s stock valued at $42,000 after acquiring an additional 867 shares during the period. BNP Paribas purchased a new position in Lemonade during the 4th quarter valued at $57,000. Finally, PNC Financial Services Group Inc. boosted its holdings in Lemonade by 116.8% during the 4th quarter. PNC Financial Services Group Inc. now owns 1,596 shares of the company’s stock valued at $59,000 after acquiring an additional 860 shares during the period. Institutional investors own 80.30% of the company’s stock.

Lemonade Company Profile

Lemonade, Inc provides various insurance products through various channels in the United States, Europe, and the United Kingdom. Its insurance products include stolen or damaged property, and personal liability that protects its customers if they are responsible for an accident or damage to another person or their property.