Why Lemonade's Stock Price Climbed 17.3% in August
August came in like a bull and went out like a bear, but Lemonade (NYSE: LMND) managed to have a pretty good month, as it was up 17.3% in August, according to S&P Global Market Intelligence.
The insurer, which uses artificial intelligence to draft policies and handle claims, far outpaced the major indexes as the S&P 500 was down 4.2% in August, while the Dow Jones Industrial Average was off 4.1%, and the Nasdaq Composite dropped 4.6%. Lemonade is still down 47% year to date as of Sept. 2, trading at around $22 per share.
The primary catalyst for Lemonade's surge was a strong second-quarter earnings report, released Aug. 8. Lemonade beat earnings and revenue expectations, with a net loss of $67.9 million, or -$1.10 per share, which was better than the consensus estimate of -$1.36 per share. Revenue was up 77% year over year to $50 million, while gross profit was up 15% year over year to $11.3 million.
Source Fool.com
