Lemonade Inc. (NYSE: LMND) – Suitable For Long Term Buy?


    With over 1.63 million Lemonade Inc. (LMND) shares trading Tuesday and a closing price of $61.01 on the day, the dollar volume was approximately $99.71 million. The shares have shown a negative weekly performance of -1.26% and its price on 08/25/20 lost nearly -7.56%. Currently, there are 56.26M common shares owned by the public and among those 48.58M shares have been available to trade.

    An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 6 analysts who have offered their price forecasts for LMND have a consensus price objective of $70.00. The analysts have set the share’s price value over the next 12 months at a high of $105.00 and a low of $45.00 should the stock experience a downside. Incidentally, analysts’ outlook for the Lemonade Inc. stock is 3.00 for the next 12 months. The average price target is 12.84% above its last price level and an upside to the estimated low will see the stock lose -35.58% over that period. But an upside of 41.9% will see the stock hit the forecast high price target while mean target price for the stock is $65.00.

    Insiders at the company have transacted a total of 10 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 10 of these insider trades were purchases, accounting for 24,600,878 shares. Insider sales of the common stock occurred on 0 occasions, with total insider shares sold totaling 0 shares.

    The top 3 mutual fund holders in Lemonade Inc. are Vanguard Total Stock Market Index, Vanguard Small Cap Index Fund, and Vanguard Small Cap Growth Index F. Vanguard Total Stock Market Index owns 0.31 million shares of the company’s stock, all valued at over $18.19 million. The company bought an additional 0.31 million shares recently to bring their total holdings to about 0.57% of the shares outstanding. Vanguard Small Cap Growth Index F bought 82819.0 shares to bring its total holdings to over 82819.0 shares at a value of $4.82 million. Vanguard Small Cap Growth Index F now owns shares totaling to 0.15% of the shares outstanding.

    Shares of Lemonade Inc. (NYSE: LMND) opened at $65.72, down -$0.28 from a prior closing price of $66.00. However, the script later closed the day at $61.01, down -7.56%. It has a 12-month low price of $49.02 and touched a high of $96.51 over the same period. Currently, 1.63 million shares have been traded, compared to an average intraday trading volume of 2.32 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by -3.24%, -12.89%, and -12.89% respectively.

    Institutional ownership of Lemonade Inc. (NYSE: LMND) 56.26M shares outstanding. Mutual fund holders own –, while other institutional holders and individual stakeholders account for 1.66% and — respectively.

    It has a market capitalization of $3.43B. The earnings-per-share (ttm) stands at -$2.76. Price movements for the stock have been influenced by the stock’s volatility, which stands at 5.38% over the week and 7.46% over the month.

    Analysts forecast that Lemonade Inc. (LMND) will achieve an EPS of -$0.65 for the current quarter, -$0.69 for the next quarter and -$2.91 for 2021. The lowest estimate earnings-per-share for the quarter is -$0.79 while analysts give the company a high EPS estimate of -$0.6. Earnings per share for the fiscal year are expected to decrease by -105.10%, and 31.90% over the next financial year.

    If you are looking to buy this stock, then you may note that the average analyst recommendation by 6 brokerage firm advisors rate Lemonade Inc. (LMND) as a “Hold” at a consensus score of 3.00. Specifically, 1 Wall Street analysts polled rate the stock as a buy, while 4 of the 6 advise that investors “hold,” and 1 rated it as a “Sell.”

    Looking at the support for the LMND, a number of firms have released research notes about the stock. William Blair stated their Mkt Perform rating for the stock in a research note on July 27, 2020, with the firm’s price target at. Oppenheimer coverage for the Lemonade Inc. (LMND) stock in a research note released on July 27, 2020 offered a Perform rating with a price target of. Morgan Stanley was of a view on July 27, 2020 that the stock is Equal-Weight, while JMP Securities gave the stock Mkt Outperform rating on July 27, 2020, issuing a price target of $105. Goldman on their part issued Sell rating on July 27, 2020.


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