- Lyft's acquisition of FreeNow could mark a pivotal expansion into the European market.
- Analysts project significant upside for Lyft's stock based on current price targets.
- GuruFocus estimates suggest Lyft's stock is undervalued, indicating potential growth.
Lyft Inc. (LYFT, Financial) is making strategic moves in the global mobility market by acquiring FreeNow, a prominent European mobility platform, for $197 million. This acquisition is a bold step towards expanding Lyft's market share in Europe, positioning the company for substantial growth. Shares in Lyft responded positively to the news, with an increase of 1.1%.
Wall Street Analysts' Insights
Wall Street analysts have set one-year price targets for Lyft Inc. (LYFT, Financial), averaging $16.38, with a high forecast of $26.00 and a low of $10.00. This average target reflects a significant 48.49% potential upside from Lyft's current trading price of $11.03. Investors can explore more detailed predictions on the Lyft Inc (LYFT) Forecast page.
The consensus among 46 brokerage firms places Lyft Inc. at a "Hold" status, with an average brokerage recommendation of 2.7. The rating scale ranges from 1, indicating a "Strong Buy," to 5, denoting a "Sell." This moderate position suggests cautious optimism from the broker community regarding Lyft’s future performance.
GuruFocus Valuation Metrics
According to GuruFocus estimates, the projected GF Value for Lyft in one year stands at $17.21. This valuation represents a potential 56.03% increase from the current price of $11.03, suggesting that Lyft's stock is undervalued based on historical trading multiples and anticipated business growth. For a comprehensive analysis, visit the Lyft Inc (LYFT, Financial) Summary page.
