Ride-hailing firm Lyft is buying European taxi app Free Now for $199 million. The acquisition — Lyft's first in Europe — is expected to close in the second half of 2025.
Lyft (LYFT) closed the most recent trading day at $12.27, moving -1.76% from the previous trading session.
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Shares of Lyft have continued to crash in 2025, pushing the stock to a very cheap ~8x adjusted EBITDA and ~4x FCF multiples. I'm upgrading Lyft to a strong buy, especially on the back of strong Q4 results that showed record-breaking bookings at a 15% y/y growth pace. Lyft's pure rideshare focus is more recession-proof than Uber (as delivery orders are more discretionary), offering stable demand amid potential economic downturns.
Lyft plans to start adding autonomous vehicles (AVs) to its ridesharing platform as soon as this summer.
Lyft (LYFT) reachead $11.72 at the closing of the latest trading day, reflecting a +1.65% change compared to its last close.
Lyft (LYFT -4.32%) has long been the No. 2 in ridesharing, but the company has now built a nice business with optionality to grow in the core business and autonomy.
Lyft's stock is undervalued, trading at a steep discount to Uber, despite achieving GAAP profitability and maintaining a strong balance sheet. Wall Street appears concerned with the company's relative underperformance to Uber. Autonomous vehicles pose a significant risk, but at a 0.75x sales multiple, Lyft's valuation appears attractive with a fair value estimate of $17 per share.
With Lyft shares moving south, we asses the investment worthiness of the stock at current levels.
At the Morgan Stanley 2025 Technology, Media & Telecom Conference on March 4, 2025, Lyft (LYFT 2.73%) CEO David Risher detailed the company's progress and strategic vision. With a Moneyball Superscore of 40/100, Lyft ranks in the lower half of companies, but the company still shows strengths in some areas.
Lyft, Inc. (NASDAQ:LYFT ) Morgan Stanley Technology, Media & Telecom Conference March 4, 2025 4:50 PM ET Company Participants David Risher - CEO Conference Call Participants Unidentified Analyst All right. Good afternoon, everyone.