Lemonade (NYSE:LMND) Trading Down 9.2% Following Insider Selling

Lemonade, Inc. (NYSE:LMND)’s stock price dropped 9.2% on Wednesday following insider selling activity. The stock traded as low as $70.98 and last traded at $70.48. Approximately 300,477 shares changed hands during trading, a decline of 86% from the average session volume of 2,079,488 shares. The stock had previously closed at $77.59.

Specifically, insider John Sheldon Peters sold 3,444 shares of the company’s stock in a transaction on Monday, July 6th. The shares were sold at an average price of $79.00, for a total value of $272,076.00. Following the completion of the transaction, the insider owned 77,942 shares of the company’s stock, valued at approximately $6,157,418. This represents a 4.23% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link.

Wall Street Analysts Forecast Growth

A number of equities research analysts have commented on LMND shares. Citizens Jmp decreased their price target on Lemonade from $85.00 to $80.00 and set a “market outperform” rating on the stock in a report on Thursday, April 30th. Truist Financial dropped their price objective on Lemonade from $98.00 to $70.00 and set a “buy” rating for the company in a research note on Wednesday, April 29th. Piper Sandler cut their target price on Lemonade from $65.00 to $62.00 and set a “neutral” rating for the company in a research report on Thursday, April 30th. TD Cowen reissued a “hold” rating on shares of Lemonade in a research note on Monday, June 8th. Finally, Keefe, Bruyette & Woods lifted their target price on Lemonade from $44.00 to $48.00 and gave the company an “underperform” rating in a research note on Wednesday. Four research analysts have rated the stock with a Buy rating, three have issued a Hold rating and three have given a Sell rating to the stock. According to MarketBeat.com, Lemonade has an average rating of “Hold” and a consensus target price of $65.33.

Lemonade Stock Down 1.1%

The company has a market capitalization of $5.40 billion, a PE ratio of -37.57 and a beta of 1.79. The company’s 50 day moving average is $58.73 and its two-hundred day moving average is $65.09.

Lemonade (NYSE:LMND) last announced its quarterly earnings results on Tuesday, April 28th. The company reported ($0.47) EPS for the quarter, topping the consensus estimate of ($0.58) by $0.11. The business had revenue of $258.00 million for the quarter, compared to analysts’ expectations of $251.51 million. Lemonade had a negative net margin of 16.44% and a negative return on equity of 26.52%. The business’s quarterly revenue was up 70.6% compared to the same quarter last year. During the same quarter in the previous year, the company earned ($0.86) EPS. Analysts forecast that Lemonade, Inc. will post -1.71 EPS for the current year.

Institutional Investors Weigh In On Lemonade

Several large investors have recently made changes to their positions in LMND. Vanguard Group Inc. increased its stake in Lemonade by 0.4% in the 4th quarter. Vanguard Group Inc. now owns 6,305,453 shares of the company’s stock worth $448,822,000 after acquiring an additional 26,312 shares during the last quarter. Clear Street Group Inc. purchased a new stake in shares of Lemonade during the 4th quarter worth approximately $2,448,000. Pursue Wealth Partners LLC bought a new position in shares of Lemonade during the 4th quarter valued at approximately $2,814,000. Halter Ferguson Financial Inc. boosted its position in shares of Lemonade by 4.3% during the 4th quarter. Halter Ferguson Financial Inc. now owns 600,863 shares of the company’s stock valued at $42,769,000 after acquiring an additional 24,957 shares during the last quarter. Finally, Atika Capital Management LLC purchased a new position in shares of Lemonade in the third quarter valued at $3,694,000. 80.30% of the stock is owned by institutional investors.

About Lemonade

Lemonade, Inc (NYSE: LMND) is a New York–based technology-driven insurance carrier that leverages artificial intelligence and behavioral economics to streamline the purchase and management of policies. Founded in 2015, the company offers renters, homeowners, pet, term life and car insurance products tailored for digitally savvy consumers. By automating underwriting and claims processing through chatbots and machine learning, Lemonade aims to deliver a more transparent and user-friendly experience than traditional insurers.

The company’s product suite includes standalone policies for renters and homeowners, customizable pet insurance plans, and term life coverage with simple online applications.