
Lemonade (LMND) Stock Forecast & Price Target
Lemonade (LMND) Analyst Ratings
Bulls say
Lemonade Inc. concluded FY24 with impressive financial results, highlighted by a 26.3% year-over-year growth in In-Force Premium and a customer count increase to 2.43 million, affirming the company's expanding market presence. The company achieved adjusted cash flow positivity for the third consecutive quarter and demonstrated improving unit economics, with its TTM gross loss ratio at a historic low of 63%, indicating effective cost management and risk mitigation strategies. For FY25, management set ambitious growth targets, forecasting In-Force Premium and revenue growth of approximately 28% and 25% respectively, reflecting confidence in the company's operational scalability and technological leverage.
Bears say
Lemonade Inc. has experienced a decline in annual dollar retention, falling to 86%, attributed to the company's strategy of reducing less profitable home customers to focus on more lucrative growth opportunities. Additionally, macroeconomic concerns, such as rising unemployment and consolidating households, pose potential risks to the company's performance, particularly in a prolonged recession. Finally, despite a reported gross loss ratio of 63%, the company continues to incur losses while pursuing opportunities in a market projected to exceed $100 billion, raising concerns about its long-term financial stability and profitability strategy.
This aggregate rating is based on analysts' research of Lemonade and is not a guaranteed prediction by Public.com or investment advice.
Lemonade (LMND) Analyst Forecast & Price Prediction
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