Why Lemonade Investors Should Buy This Dip
Tech-centric and artificial intelligence (AI) insurance company Lemonade (NYSE: LMND) announced strong second-quarter 2023 results last week, but you'd be forgiven for thinking otherwise if you saw the stock's post-earnings plunge.
In my view, Lemonade's results were exceptional by every measure. And I think long-term investors would do well to buy this dip.
First, Lemonade's top and bottom lines were solid relative to Wall Street's expectations. Revenue soared 109% year over year to $104.6 million, above the $97.6 million most analysts were modeling. In-force premium (IFP) jumped 50% to $687 million, helped by 21% customer growth to more than 1.9 million and a 24% increase in premium per customer. Lemonade also narrowed its quarterly net loss to $67.2 million, or $0.97 per share, from $1.10 per share a year earlier (also beating estimates for a per-share loss of $1.00).
Source Fool.com
