Lemonade (NYSE:LMND) Shares Down 5.9% – Should You Sell?

Lemonade, Inc. (NYSE:LMND)’s stock price was down 5.9% on Wednesday . The company traded as low as $34.42 and last traded at $35.11. Approximately 536,765 shares changed hands during trading, a decline of 71% from the average daily volume of 1,843,510 shares. The stock had previously closed at $37.31.

Wall Street Analyst Weigh In

A number of research analysts recently weighed in on the stock. Keefe, Bruyette & Woods lowered shares of Lemonade from a “market perform” rating to an “underperform” rating and raised their price target for the company from $18.00 to $21.00 in a research note on Thursday, November 7th. JMP Securities raised their target price on Lemonade from $40.00 to $60.00 and gave the company a “market outperform” rating in a research report on Friday, November 22nd. Piper Sandler dropped their price target on Lemonade from $44.00 to $34.00 and set a “neutral” rating for the company in a research report on Wednesday, February 26th. BMO Capital Markets raised their price objective on Lemonade from $13.00 to $15.00 and gave the company an “underperform” rating in a report on Thursday, November 21st. Finally, Morgan Stanley raised shares of Lemonade from an “underweight” rating to an “equal weight” rating and lifted their target price for the stock from $23.00 to $42.00 in a research note on Wednesday, November 20th. Three investment analysts have rated the stock with a sell rating, two have issued a hold rating and one has assigned a buy rating to the stock. Based on data from MarketBeat, Lemonade currently has a consensus rating of “Hold” and a consensus target price of $31.00.

Lemonade Trading Down 6.4 %

The firm has a fifty day moving average price of $34.66 and a 200 day moving average price of $29.92. The firm has a market cap of $2.51 billion, a PE ratio of -11.34 and a beta of 2.12.

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

Insider Activity at Lemonade

In other Lemonade news, major shareholder Softbank Group Capital Ltd sold 719,815 shares of the company’s stock in a transaction dated Monday, December 16th. The shares were sold at an average price of $44.29, for a total value of $31,880,606.35. Following the transaction, the insider now owns 11,263,569 shares of the company’s stock, valued at $498,863,471.01. This represents a 6.01 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, Director Michael A. Eisenberg sold 12,000 shares of the stock in a transaction dated Friday, December 13th. The stock was sold at an average price of $40.15, for a total transaction of $481,800.00. Following the transaction, the director now directly owns 94,670 shares of the company’s stock, valued at approximately $3,801,000.50. This trade represents a 11.25 % decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 769,766 shares of company stock worth $33,851,446. Insiders own 12.50% of the company’s stock.

Institutional Trading of Lemonade

Several institutional investors have recently added to or reduced their stakes in the stock. International Assets Investment Management LLC increased its stake in Lemonade by 1,549.0% during the third quarter. International Assets Investment Management LLC now owns 19,673 shares of the company’s stock worth $324,000 after purchasing an additional 18,480 shares during the period. GSA Capital Partners LLP grew its holdings in shares of Lemonade by 31.0% in the third quarter. GSA Capital Partners LLP now owns 180,916 shares of the company’s stock valued at $2,983,000 after purchasing an additional 42,822 shares in the last quarter. Quest Partners LLC increased its stake in Lemonade by 1,647.6% during the 3rd quarter. Quest Partners LLC now owns 9,105 shares of the company’s stock worth $150,000 after buying an additional 8,584 shares during the period. Connor Clark & Lunn Investment Management Ltd. increased its stake in Lemonade by 99.2% during the 3rd quarter. Connor Clark & Lunn Investment Management Ltd. now owns 54,762 shares of the company’s stock worth $903,000 after buying an additional 27,265 shares during the period. Finally, Intech Investment Management LLC purchased a new position in Lemonade in the 3rd quarter valued at approximately $264,000. Institutional investors and hedge funds 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.