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Bloomberg
The first few weeks of trading in Lyft Inc.’s stock have not gone well, and that’s unlikely to change any time soon.
Lyft’s share price has dropped nearly 19 percent since debuting late last month, prompting some investors to sue the company, alleging the ride-sharing service provider overstated its market position when it went public. Questions about growth and market share have also swirled thanks to multiple Wall Street analysts covering the stock, a trend that may continue when a host of firms initiate research coverage starting from Tuesday.
April 23 will mark the end of a 25-day quiet period for banks that underwrote Lyft’s initial public offering, and analysts initiating coverage on the stock are expected to focus on how the company is expanding its number of active riders and the so-called take-rate — revenue divided by gross bookings. According to Bloomberg data, Lyft currently has 12 analysts covering its stock, of whom seven have the equivalent of a hold rating, four the equivalent of a buy and one a sell.