51.55 +0.19 (0.37%)
Pre-Market: 6:54AM EDT
|Bid||50.11 x 2200|
|Ask||51.73 x 1300|
|Day's Range||51.29 - 54.33|
|52 Week Range||47.17 - 88.60|
|Beta (3Y Monthly)||N/A|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||75.13|
A Yahoo Finance investigation reveals a lobbying campaign on behalf of big tech to stop data privacy bills this year in at least 13 states.
Cars, bikes. scooters and now electric Mopeds. The latest shared mobility play is Revel which has a fleet of electric Mopeds in Brooklyn, Queens, and Washington D.C.. Frank Reig, CEO and Co-founder of Revel, joined The Final Round to discuss
Uber drivers in Europe and the U.S. are fighting for access to their personal data. Whoever wins the lawsuit could get to reframe the terms of the gig economy.
A new program hopes to give a Lyft to Memphians needing medical transport. Memphis-based Tennessee Carriers Inc. and Lyft Inc. launched a one-year pilot program in Memphis on Monday, Aug. 19. The Lyft pilot program will roll out in Shelby County first, with plans to venture out to other Tennessee metros in the future.
WeWork has the perfect blend of aggressive ambition and squidgy sincerity needed to take the crown in this year’s surge of technology start-ups going public. Like Uber and Lyft before it, the office rental company has become a global brand in less than a decade, spinning a single rented floor in New York into a $47bn global company synonymous with bright, beautiful spaces. In reality, WeWork is a conventional real estate company dressed up in tech bravado.
‘This research underscores how ride-sharing platforms can provide a significant benefit to the well-being of older adults.’
An economic downturn could test whether consumers view ride hailing as a luxury or a necessity, and slow both companies' drives to profitability.
If you were riding with Lyft (NASDAQ:LYFT) stock into earnings, it looked like you were going to get a smooth ride. Lyft reported better than expected numbers, and Lyft's stock initially went up. The good cheer wasn't to last, however.Source: Tero Vesalainen / Shutterstock.com That's because Lyft's big rival, Uber (NYSE:UBER) announced seemingly dreadful earnings results, crashing both companies' parties. UBER stock has continued to skid to new lows, and Lyft's stock price recently threatened to fall below $50 per share again as well. With both ride-sharing companies swerving lower, is it time to buy either Uber or Lyft stock? Lyft's Earnings: Hold the ApplauseLyft's quarterly earnings report looks great at first glance. On a non-GAAP basis, Lyft only lost 68 cents per share. That was far better than expectations of a $1.74 per share loss. On revenues, the company's $867 million figure smashed estimates of $809 million.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Undervalued Stocks With Breakout Potential However, Lyft had offered the street ridiculously low guidance heading into the second quarter. Revenues grew at the same rate in Q2 as they did sequentially in Q1. The big revenue beat came from Lyft and analysts setting a very low bar, not from growth actually speeding up. As it is, losses continue to mount, and not surprisingly, the market sold Lyft stock off after the initial excitement faded. Lyft and Uber: Comparing Quarterly ResultsLike with other metrics, it's hard to directly compare the quality of Uber and Lyft's most recent quarters. Uber produced a much more shocking overall net loss than Lyft, and Uber's stock skidded to the downside as a result.But when that huge reported net loss was largely a result of outlandishly generous stock compensation for executives, it's hard to call that a real negative for Uber compared to Lyft. After all, Uber did have a much more successful IPO than Lyft. They IPOed at a higher valuation ratio, and Uber's stock price didn't immediately collapse after the initial offering. Lyft stock, as you may remember, tanked from $87 to under $60 within a few weeks after its IPO. So it's hardly much credit to Lyft to say they had smaller losses because of less shareholder compensation when that is a direct result of the sinking share price.Ignoring reported net income, the figures look more comparable. Both Uber and Lyft are failing to show any meaningful economies of scale yet. Both are reporting larger and larger EBITDA losses as they grow. Lyft, for example, went from a $190 million EBITDA loss in 2018 to $205 million in EBITDA losses this quarter. Ideally, your EBITDA is supposed to improve as you scale up. But both Lyft and Uber have not turned into anything resembling ideal businesses yet. Is a Recession Good or Bad for Ride-Sharing?With all the talk about a recession hitting soon, it's worth asking what a recession would mean for Uber and Lyft stock. On the one hand, it could be a big plus on the driver costs side. Right now, the labor market is tight. Unemployment is low and businesses are struggling to find new workers. In this environment, Lyft and Uber are having to pay more in subsidies to recruit and keep new drivers. It's logical to assume that in a recession, a lot of people would lose their jobs and turn to the gig economy to replace lost wages. This should help cost structures for Lyft and Uber.On the other hand, a recession would clearly hurt the demand side of the picture. For everyday use, you'd see a lot of folks switch back from ride-sharing to mass transit and other alternatives to save money. Also, ride-sharing has seemingly created a lot of new demand where people previously didn't get transportation at all. In a recession, that sort of fun night out activity gets cut back significantly to pinch pennies. The Bottom Line on Lyft StockUltimately, at this time, I wouldn't want to own either Lyft stock or Uber stock. The businesses are both losing tons of money even on an EBITDA basis. Once you add in very real costs such as interest, things look worse. And how's it going to change in the near term?Uber and Lyft are locked in a price war in the United States for market share. Since Lyft has relatively little going on internationally or in other adjacent businesses, there's not much it can do to become profitable while fighting Uber. It's hard to see a path to meaningful profi unless Lyft either beats Uber out in North America or finds a softer market somewhere else to compete in.With Uber, some of its other bets, such as international markets, its more robust data and self-driving efforts, or adjacent businesses such as UberEats could take off, even while it is losing money fighting Lyft in the U.S. Is that a good bet? Probably not yet. There's no sign that Uber's economic results are anywhere near an inflection point just yet. But at least there is a viable path to profits for Uber.For Lyft, you have to crush Uber and manage to raise prices -- without letting taxis back into the game -- before self-driving cars come along and make the current business model obsolete. That's a tall order for Lyft's management to pull off.At the time of this writing, Ian Bezek held no positions in any of the aforementioned securities. You can reach him on Twitter at @irbezek. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Cheap Dividend Stocks to Load Up On * The 10 Biggest Losers from Q2 Earnings * 5 Dependable Dividend Stocks to Buy The post Is Lyft Stock Better Than Uber Stock to Invest in Now? appeared first on InvestorPlace.
The San Francisco e-hailing company joins GrowNYC to improve access to healthy foods for certain New Yorkers.
Uber (NYSE:UBER) vs. Lyft (NASDAQ:LYFT). Which is the better buy? It's a question that lots of investors are asking themselves these days. I asked myself that very same question back in April just before Uber stock went public and soon after Lyft's March 28 IPO. Source: Shutterstock I recommended investors avoid the stocks of both ridesharing apps because the pathway to profitability was extremely uncertain. After Uber's latest Q2 2019 earnings report, where the issue of it accepting cash in some parts of the world came up, it seems possible that Uber may never become profitable. InvestorPlace - Stock Market News, Stock Advice & Trading TipsDoes Uber accepting cash in some parts of the world worry you? It should. Here's why. Brazil, Cash and Uber StockProps go out to MarketWatch's Francine McKenna for writing about this subject August 19. Without her article, I'm not sure I would have taken a look at this angle of Uber's business. It turns out that 13% of the company's global gross bookings in 2018 were cash-paid trips (you can find the note on page 73 of its 10-Q in the section discussing how some consumers pay for rides and meal deliveries using cash) and that amount could increase in the future, especially where Careem operates, the Dubai-based ridesharing company it acquired at the end of March for $3.1 billion. * 10 Cheap Dividend Stocks to Load Up On I don't know about you, but one of the selling features about apps like Uber and Lyft is that there's no cash involved. If you're a criminal, you're not going to rob a driver if you know he's not carrying a big wad of cash from customer fares. Now, it seems as though the Uber is willing to sacrifice driver and passenger safety to attract more business, to heck with the consequences. What's Brazil got to do with this discussion?Brazil accounted for approximately 10.4% of Uber's $5.4 billion in revenue in the first six months of fiscal 2018. Sao Paulo, Los Angeles, New York, San Francisco, and London, accounted for 24% of the ridesharing apps gross bookings in 2018. Without Sao Paulo, Uber isn't nearly as successful a global business. Brazil also happens to be one of the areas where Uber allows drivers to take cash -- India and Mexico are two other countries accepting cash -- which creates several regulatory, operational, and safety concerns (I already mentioned these). Also, Brazil's volatile currency makes the operational nightmare of collecting cash hardly worth it. That's especially true when Uber is losing $878 million per quarter. If I'm considering the risks of using cash in Brazil, that alone would make me think twice about buying Uber stock. After all, the beauty of Uber has always been the technology and how clean it made the pick-up, drop off, and fare and tip payment. Cash throws that simplicity out the window. The Bottom Line on Uber StockAccording to McKenna's article, the Uber app won't allow you to order a car from certain areas in Sao Paulo at certain times on certain days to protect users against potential safety challenges. However, by allowing drivers and passengers to interact using cash, Uber is potentially providing a way for itself and its drivers to avoid paying taxes. When you're talking about a company that's expected to lose billions in 2019, I can find no reason why accepting cash would be good for the long-term health of Uber stock. Aren't we becoming a cashless society? Uber, desperate for revenue, is taking itself back into the stone age. That's not the kind of innovation investors ought to be excited about. For this reason, as they say on Shark Tank, I'm out. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Cheap Dividend Stocks to Load Up On * The 10 Biggest Losers from Q2 Earnings * 5 Dependable Dividend Stocks to Buy The post This New Cash Initiative Is Just One More Reason to Avoid Uber Stock appeared first on InvestorPlace.
(Bloomberg) -- WeWork’s IPO prospectus lacks the information needed to create a financial model of the company, according to an analyst who specializes in new listings.The We Co., which is expected to raise about $3.5 billion in what would be 2019’s second-biggest initial public offering, must have put in a great effort to conceal the unit economics underlying the coworking space provider, said Triton Research Inc. Chief Executive Officer Rett Wallace.“The prospectus is a masterpiece of obfuscation,” he said in an interview. “If the underlying facts were positive, why would a company go to so much trouble to prevent you from understanding them?”Using what it calls an obfuscation index as one component of its ratings, Triton has built a strong track record predicting the winners and losers among technology IPOs. Since January 2018, listings that won an above-average score from Triton have risen about 92% from their offering prices, nearly triple the return of those scoring below average.IPOs with the highest Triton scores include standouts Elastic NV, Smartsheet Inc. and Anaplan Inc., while post-listing duds such as Sonos Inc., Dropbox Inc. and Lyft Inc. rank among the low scorers.Triton sees high levels of obfuscation in WeWork’s filing. For example, the company stops counting sales and marketing expenses at a given location once it’s been open for two years -- but the spending doesn’t actually stop after that. Instead, it counts as an operating expense, Triton said.A representative for New York-based WeWork declined to comment.Opening DatesWeWork’s filing doesn’t disclose the dates of when its locations opened or when the spending at a given location will switch into the operating expense bucket, according to Wallace. Like some government agencies, WeWork labels some compensation as investments.“When you make it impossible for people to have data-driven conviction, then everything is just sentiment,” Wallace said. “Sentiment can come and go, especially in a volatile tape like this.”Read more: WeWork IPO May Polarize Wall Street Into Warring Camps, MKM SaysThe lack of disclosure becomes even more apparent when contrasted with other IPO filings that are more direct, he added.“When companies fight you on understanding the basic proposition of the mousetrap, it’s always bad. People who have good mouse traps say, ‘This is the thing: You put the cheese in, the trap is designed to never break your thumb, and it catches mice nine times out of ten.’”Read more: WeWork IPO Shows It’s the Most Magical Unicorn: Shira OvideTo contact the reporter on this story: Drew Singer in New York at email@example.comTo contact the editors responsible for this story: Brad Olesen at firstname.lastname@example.org, Michael HythaFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Lyft Inc. shares dropped sharply at the market open on Monday, but then quickly recovered, as some early investors got their first opportunity to sell the stock.Shares of the ride-hailing operator fell as much as 3.7% to $50.51, before gaining as much as 2.1% in New York. A block of 1.04 million in Lyft Class A shares, or about 2.6% of float, traded at a market value of $53.7 million at 9:30 a.m., according to Bloomberg data. The performance compares to the S&P 500, which rose more than 1%. The company had estimated that about 258 million Class A shares may become eligible for sale at the market open on Monday.To contact the reporter on this story: Esha Dey in New York at email@example.comTo contact the editor responsible for this story: Brad Olesen at firstname.lastname@example.orgFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Midwestern money manager O’Brien-Staley Partners acquired hundreds of New York City taxi medallion loans, becoming a major player in an industry upended by Uber and Lyft.O’Brien-Staley, founded by two former Cargill Inc. executives, bought performing loans secured by more than 400 medallions from Signature Bank, according to regulatory filings and interviews. That equals roughly 3% of the 13,587 medallions that are either in use or storage, according to the New York City Taxi and Limousine Commission.Lenders such as Signature and Capital One Financial Corp. have suffered losses on medallion loans as taxi ridership and revenue plummeted in the face of competition from ride-hailing services Uber Technologies Inc. and Lyft Inc. That has left many cab drivers swamped by debts they can’t repay.With regulators investigating allegations of predatory lending, medallion prices have fallen as low as $110,000 from roughly $1 million at the start of the decade. Banks that haven’t budged on price may become more willing to sell their loans to private equity and hedge fund firms.“There are other players resurfacing,” said Matthew Daus, an attorney at Windels Marx who formerly served as commissioner of New York’s taxi and limousine bureau. Some banks “may cut their losses once and for all.”Unloved CreditsSusan Turkell, a spokeswoman for New York-based Signature, confirmed in an email that the bank made a bulk sale of performing loans to O’Brien-Staley earlier this year, representing more than 400 medallions. Signature’s second-quarter financial report disclosed the sale of about $46.4 million in loans tied to medallions and $4.6 million in repossessed medallions.E. Gerald O’Brien, chief investment officer at O’Brien-Staley, declined to comment. The former head of global loan portfolios at CarVal Investors, a credit investment unit at Cargill, O’Brien co-founded the firm in 2010 with Warren Staley, a former Cargill chief executive officer.O’Brien-Staley’s website says it specializes in “unloved” credits. The firm had about $1.3 billion of regulatory assets under management at the end of last year. It now ranks as one of the largest lenders against medallions, said Andrew Murstein, president of Medallion Financial Corp., which originates and services taxi loans.“It is another positive sign for the industry that another fund with a successful track record believes that medallions are a good investment,” Murstein said in an email.To contact the reporter on this story: Miles Weiss in Washington at email@example.comTo contact the editors responsible for this story: Alan Mirabella at firstname.lastname@example.org, Vincent Bielski, Melissa KarshFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.