Why Lyft Stock Shifted Into Reverse Today
Lyft (NASDAQ: LYFT) posted an unexpected loss in the fourth quarter and provided disappointing guidance for the first three months of 2023. Investors didn't see much reason for optimism, sending Lyft shares down about 35% on Friday morning.
Lyft lost $0.74 per share in the last three months of 2022, a significant miss in a quarter for which analysts had expected a slight profit. For the year, Lyft's net loss widened to $588.1 million, or $1.61 per share, from $283.2 million, or $0.83 per share, in 2021.
The miss was caused in part by higher insurance reserves, with $225 million in added dollars reflected in cost of revenue and another $150 million in general and administrative expenses.
Source Fool.com
