Lemonade (NYSE:LMND) Stock Price Up 7.6% – Here’s What Happened

Lemonade, Inc. (NYSE:LMND)’s share price rose 7.6% during mid-day trading on Monday . The company traded as high as $59.22 and last traded at $59.3550. Approximately 927,203 shares traded hands during trading, a decline of 65% from the average daily volume of 2,640,851 shares. The stock had previously closed at $55.15.

Key Lemonade News

Here are the key news stories impacting Lemonade this week:

• Positive Sentiment: Morgan Stanley upgraded Lemonade from “equal weight” to “overweight” and raised its price target to $85, highlighting the Tesla partnership as a growth catalyst. Morgan Stanley upgrades Lemonade (LMND)
• Positive Sentiment: news coverage notes the stock jumped on the Morgan Stanley upgrade specifically tied to potential upside from the Tesla partnership, amplifying buying interest. Lemonade stock jumps after Morgan Stanley upgrades to overweight on Tesla partnership
• Positive Sentiment: Unusual options activity: traders bought ~22,566 call contracts (about 27% above average), indicating speculative bullish positioning ahead of or following the upgrade. (No article link provided)
• Positive Sentiment: Technical momentum picked up — Lemonade is appearing on lists of stocks with rising relative strength, supporting continued short‑term buying. Stocks with rising relative strength: Lemonade
• Neutral Sentiment: Brokerage consensus remains an average “Hold,” indicating many analysts have not shifted to bullish ratings despite the MS call; the market move may be more sentiment/flow driven. Lemonade, Inc. (NYSE:LMND) Receives Average Recommendation of “Hold” from Brokerages
• Neutral Sentiment: Explanatory pieces tying the surge to the MS upgrade/Tesla news have multiplied — useful for context but largely repetitive of the same catalyst. Why is Lemonade (LMND) stock rocketing higher today?

Analysts Set New Price Targets

LMND has been the subject of several research analyst reports. Cantor Fitzgerald lifted their price target on shares of Lemonade from $85.00 to $92.00 and gave the company an “overweight” rating in a research note on Wednesday, January 14th. Wolfe Research set a $44.00 target price on Lemonade in a research note on Tuesday, February 24th. Citigroup reaffirmed an “outperform” rating on shares of Lemonade in a research report on Friday, January 16th. Truist Financial began coverage on Lemonade in a report on Tuesday, January 6th. They issued a “buy” rating and a $98.00 price target on the stock. Finally, Citizens Jmp set a $80.00 price objective on Lemonade in a research note on Monday, November 24th. Five analysts have rated the stock with a Buy rating, one has assigned a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, Lemonade has an average rating of “Hold” and a consensus target price of $68.75.

Lemonade Price Performance

The business’s fifty day moving average price is $69.77 and its 200-day moving average price is $66.43. The stock has a market capitalization of $5.11 billion, a price-to-earnings ratio of -29.60 and a beta of 2.12.

Lemonade (NYSE:LMND) last posted its earnings results on Wednesday, February 18th. The company reported ($0.29) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.41) by $0.12. Lemonade had a negative net margin of 22.43% and a negative return on equity of 31.19%. The firm’s revenue for the quarter was up 53.3% on a year-over-year basis. During the same period last year, the firm posted ($0.42) EPS. Equities research analysts predict that Lemonade, Inc. will post -3.03 earnings per share for the current fiscal year.

Insider Buying and Selling at Lemonade

In other Lemonade news, insider John Sheldon Peters sold 3,571 shares of the firm’s stock in a transaction on Wednesday, March 4th. The stock was sold at an average price of $52.50, for a total transaction of $187,477.50. Following the transaction, the insider directly owned 76,729 shares in the company, valued at approximately $4,028,272.50. This trade represents a 4.45% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Daniel A. Schreiber sold 9,108 shares of the company’s stock in a transaction on Friday, January 23rd. The stock was sold at an average price of $99.04, for a total transaction of $902,056.32. Following the completion of the sale, the chief executive officer owned 1,514,426 shares of the company’s stock, valued at approximately $149,988,751.04. The trade was a 0.60% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 160,300 shares of company stock valued at $14,796,026 in the last quarter. 12.50% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Lemonade

Hedge funds have recently modified their holdings of the company. Price T Rowe Associates Inc. MD grew its holdings in shares of Lemonade by 186.0% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 1,484,175 shares of the company’s stock valued at $105,644,000 after acquiring an additional 965,321 shares in the last quarter. JPMorgan Chase & Co. grew its stake in Lemonade by 30.8% in the 3rd quarter. JPMorgan Chase & Co. now owns 3,506,171 shares of the company’s stock valued at $187,685,000 after purchasing an additional 825,522 shares during the period. BIT Capital GmbH increased its position in shares of Lemonade by 69.3% during the 3rd quarter. BIT Capital GmbH now owns 1,254,345 shares of the company’s stock valued at $67,145,000 after purchasing an additional 513,424 shares during the last quarter. Jump Financial LLC raised its stake in shares of Lemonade by 365.8% during the 2nd quarter. Jump Financial LLC now owns 581,378 shares of the company’s stock worth $25,470,000 after purchasing an additional 456,571 shares during the period. Finally, Man Group plc purchased a new position in shares of Lemonade in the 4th quarter worth about $25,978,000. Institutional investors own 80.30% of the company’s stock.

About Lemonade

Lemonade, Inc (NYSE: LMND) is a New York–based technology-driven insurance carrier that leverages artificial intelligence and behavioral economics to streamline the purchase and management of policies. Founded in 2015, the company offers renters, homeowners, pet, term life and car insurance products tailored for digitally savvy consumers. By automating underwriting and claims processing through chatbots and machine learning, Lemonade aims to deliver a more transparent and user-friendly experience than traditional insurers.

The company’s product suite includes standalone policies for renters and homeowners, customizable pet insurance plans, and term life coverage with simple online applications.