Lemonade Just Gave Investors Great News - Should You Buy the Stock Before it Goes Higher?
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- čas přidán 25. 06. 2024
- Lemonade (LMND) beat analyst estimates on both the top and bottom lines, but the big story is that the company is showing investors a clear path to profitability. In this video, I’ll discuss the numbers and why Lemonade’s updated profitability timetable is such a big deal.
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Good video! I’m a LMND holder
I'm still holding LMND because I still believe in the concept. My cost basis is on about $20, so no need to panic yet. Still wondering if I should add to the position though...
I BOT LMND in 2022 @ $29, and sold it almost 1 year later @ $16. It just languished to the point where I had to sell. Looks like it's still got 1.5 Years to Profitability. Thanks for the video, Matt, but I won't chance it again, sorry.
Fair enough! I have a very small position...wouldn't put a large amount of money into it right now.
Thanks for the update on LMND Matt, appreciate your work.
If you could choose one stock for long term, would you buy REDFIN or LMND ?
I 1st bought Lemonade pretty high, & I'm wondering if I should expect for it to recover at that level (about where it was 1st recommended, I think).
I'm not really sure who gave me the EVER recommendation, but I started buying it for much cheaper. I think they're kind of the same, aren't they? Do you think they'll both have about the same priced stock, eventually, or do you think Lemonade is really worth more? My EVER has actually been doung quite well. .
Thanks for doing a video on OPEN. I appreciate it.
Lemonade's shareholder letter still looks like it's done by a grad student. The earnings call was pretty good though, they hit on the right points, provided good guidance and the answers to the Q&A seemed good to me too. I'll still wait over at the very least Q2 and maybe Q3 too until I'd be adding, 1) because the spending is supposed to really gear up the rest of the year 2) Lemonade is always doing great as long as there aren't any catastrophes, which is kind of bad for an insurer.
Why do you think the stock isn't moving at all on these quite good earnings and guidance?
I agree on waiting until at least mid-year. Historically, if there's a loss ratio problem, it will happen in the second or third quarter. Also 100% agree that natural catastrophes should be built in to underwriting and not simply used as an excuse for awful numbers -- especially when an insurer is that reliant on reinsurance.
As an early buyer I need 3x on LMND to break even). But still holding full amount...
Btw, which software are you using for recording your screen?
I'm with you. I'd need about a 2x move, just because I added a bit when it got cheap. I use Riverside to record, mainly because it's the best way to record interviews and multi-person discussions that I know of.
I was also an early buyer at 9.2020… but when the price went totally out of control in 1.2021 (P/S > 100) I sold most of my position. I don’t know who was buying then…
Appreciate your work Matt. But I have to make one comment. At 7.30 you say that the estimate comes from optimistic management.
I think that Lemonade management has been criticized a lot about constantly giving too cautious guidances, both in IFP and EBITDA. They have been accused of sandbagging because history of always beating their guidances. How do you see them optimistic?
I don’t understand why anyone would invest in Lemonade versus a real insurer (eg Progressive). There is literally no rational explanation.