Why Lyft (LYFT) is a Top Momentum Stock for the Long-Term
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For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.
Is This 1 Momentum Stock a Screaming Buy Right Now?
For momentum investors, upward or downward trends in a stock's price or earnings outlook take precedent, so they'll want to zero in on the Momentum Style Score. This Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
Lyft (LYFT)
Lyft, based in San Francisco, CA, was founded in 2012. The company, however, made its trading debut on the Nasdaq in March 2019. Its IPO price was $72 a share. Lyft completed its IPO on Apr 2, 2019. During the process, the company sold 32,500,000 shares of Class A common stock. On Apr 9, 2019, Lyft sold 2,996,845 more shares of Class A common stock at $72 per share.
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LYFT is a Zacks Rank #3 (Hold) stock, with a Momentum Style Score of A and VGM Score of A. Shares are up 1.2% over the past one week and up 19.5% over the past four weeks. LYFT has lost 1% in the last one-year period as well. Looking at trading volume, an average of 21,995,454 shares exchanged hands over the last 20 trading days.
Momentum investors also pay close attention to a company's earnings. For LYFT, seven analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.08 to $1.11 per share for 2025. LYFT boasts an average earnings surprise of 24.2%.
With strong earnings growth, a good Zacks Rank, and top-tier Momentum and VGM Style Scores, investors should think about adding LYFT to their portfolios.
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Lyft, Inc. (LYFT) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).