Jump Financial LLC has significantly increased its stake in Lemonade, Inc. (NYSE: LMND) by an impressive 365.8% during the second quarter of 2023. According to Holdings Channel, the firm acquired an additional 456,571 shares, bringing its total holdings to 581,378 shares valued at approximately $25.47 million by the end of the reporting period.
Institutional investment in Lemonade has seen a marked increase, with several other hedge funds also adjusting their positions. For instance, US Bancorp DE raised its stake by 28.3% in the first quarter, acquiring 531 shares to own a total of 2,406 shares valued at $76,000. Similarly, Vanguard Group Inc. increased its holdings by 14.9%, now holding 6,138,444 shares worth $192.93 million after purchasing 794,952 shares. Invesco Ltd. also lifted its stake by 92.0%, owning 147,319 shares valued at $4.63 million following the acquisition of 70,601 shares.
Overall, institutional investors now own approximately 80.30% of Lemonade’s stock.
Analyst Ratings and Price Targets
Several research analysts have recently provided updates on Lemonade’s stock. Citigroup reaffirmed a “market outperform” rating for Lemonade on November 24, 2023. Meanwhile, Morgan Stanley raised its target price for the stock from $49.00 to $53.00, maintaining an “underweight” rating. Piper Sandler adjusted its price target from $60.00 to $55.00 and rated the stock as “neutral.” Conversely, Citizens JMP increased its price target significantly from $60.00 to $80.00, maintaining a “market outperform” rating.
Currently, Lemonade holds a consensus rating of “Hold” with an average target price of $58.57, as reported by MarketBeat.com.
Insider Transactions and Stock Performance
In insider trading news, COO Adina Eckstein sold 5,988 shares of Lemonade on November 10, 2023, at an average price of $78.00, amounting to a total of $467,064. Following this transaction, Eckstein’s ownership decreased by 2.56%, leaving her with 227,987 shares valued at $17.78 million. Another insider, John Sheldon Peters, sold 2,667 shares on December 3, 2023, at an average price of $72.37, totaling $193,010.79. Peters now owns 74,325 shares valued at $5.38 million, reflecting a 3.46% decrease in his ownership.
Over the past three months, insiders have sold 74,258 shares of Lemonade, totaling $5.45 million. Insiders hold approximately 14.70% of the company’s stock.
On a positive note, Lemonade shares opened at $78.97 on Friday, marking an increase of 2.8%. The company boasts a market capitalization of $5.90 billion with a price-to-earnings ratio of -33.04 and a beta of 2.13. Over the past year, Lemonade’s stock has seen a low of $24.31 and a high of $83.77.
On November 5, 2023, Lemonade reported its quarterly earnings, showing a loss of ($0.51) earnings per share (EPS), surpassing the consensus estimate of ($0.72) by $0.21. The company generated revenue of $194.50 million, exceeding the projected $185.06 million, and marking a year-over-year revenue increase of 42.4%.
Looking ahead, analysts anticipate that Lemonade, Inc. will report an EPS of ($3.03) for the current year.
Lemonade offers various insurance products across the United States, Europe, and the United Kingdom, including coverage for stolen or damaged property and personal liability.
