ReachX logo

Lyft IPO - Summary Investment Presentation

Research

Publication Date: 26 Mar 2019 - By Robert Prather By Robert Prather
Actionable
Differentiated

Equity Fundamental IPO & Placements Equity USA Transport

Lyft, Inc, after launching in 2012 as a peer-to-peer on-demand ridesharing platform, has today grown to provide a multimodal platform that offers riders seamless, personalized and on-demand access to a variety of transportation options including ride-hailing, bikes and scooters and public transportation. It is one of the largest and fastest-growing multimodal transportation networks in the US and Canada.

Please download the full report for more information on the outline below.

Strengths & Opportunities

  • Lyft is rapidly growing and stealing market share away from the biggest competitor, Uber
  • Revenue per ride, revenue as percentage of bookings and other operating metrics are also improving
  • Strong balance sheet with over $2bn in net cash will help it continue spending on customer acquisition and autonomous vehicles

 Risks & Concerns

  • Lyft faces increasing competition from Uber as new entrants as all are trying to gain share by offering steep discounts
  • Low switching costs for both rider as well as drivers
  • Revenue as well as user growth is decelerating while losses are deepening
  • In our view, Lyft lacks the scale effect and even further market share gains may not make it net income positive

Lyft IPO - Summary Investment Presentation

Source: VR Fundamental

Pages: 74

Released: 26 Mar 2019

Unlock for 10 credits

The Author

Robert Prather

Equity Analyst

Consumer, Telecom & Media, Technology, Industrials

Book

 

Most read

ReachX
1-15 Clere Street, EC2A 4UY
London, United Kingdom
info@reachx.co
ReachX
1-15 Clere Street, EC2A 4UY
London, United Kingdom

info@reachx.co
Sign up to our newsletter