With Uber set to report after Wall Street closes, analysts were excited by Lyft’s 72% rise in second-quarter revenue and its assertion higher spend per rider – read higher prices – would pull both third quarter and full-year sales above market expectations.
Finance chief Brian Roberts said 2018 was likely the peak of losses for Lyft and said pricing had become “more rational”, meaning the company should spend less on the constant promotions and incentives it and Uber have used to win market share.
At least nine brokerages raised their price targets on Lyft stock in response, with Credit Suisse the most bullish with a price target of $96.
