Lyft, Inc.
Lyft, Inc. Fundamental Analysis
Lyft, Inc. (LYFT) shows strong financial fundamentals with a PE ratio of 2.01, profit margin of 45.03%, and ROE of 2.10%. The company generates $6.1B in annual revenue with strong year-over-year growth of 31.39%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 78.5/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze LYFT's fundamental strength across five key dimensions:
Efficiency Score
ExcellentLYFT demonstrates superior asset utilization.
Valuation Score
ExcellentLYFT trades at attractive valuation levels.
Growth Score
ModerateLYFT shows steady but slowing expansion.
Financial Health Score
ModerateLYFT shows balanced financial health with some risks.
Profitability Score
ExcellentLYFT achieves industry-leading margins.
Key Financial Metrics
Is LYFT Expensive or Cheap?
P/E Ratio
LYFT trades at 2.01 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, LYFT's PEG of 0.00 indicates potential undervaluation.
Price to Book
The market values Lyft, Inc. at 1.75 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 52.72 times EBITDA. This signals the market has high growth expectations.
How Well Does LYFT Make Money?
Net Profit Margin
For every $100 in sales, Lyft, Inc. keeps $45.03 as profit after all expenses.
Operating Margin
Core operations generate -2.98 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $2.10 in profit for every $100 of shareholder equity.
ROA
Lyft, Inc. generates $31.49 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Lyft, Inc. produces operating cash flow of $1.17B, showing steady but balanced cash generation.
Free Cash Flow
Lyft, Inc. generates strong free cash flow of $1.12B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $2.80 in free cash annually.
FCF Yield
LYFT converts 20.56% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
2.01
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.001
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.75
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.88
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.39
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.65
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
2.10
vs 25 benchmark
ROA
Return on assets percentage
0.31
vs 25 benchmark
ROCE
Return on capital employed
-0.04
vs 25 benchmark
How LYFT Stacks Against Its Sector Peers
| Metric | LYFT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 2.01 | 35.19 | Better (Cheaper) |
| ROE | 209.99% | 1155.00% | Weak |
| Net Margin | 45.03% | -127067.00% (disorted) | Strong |
| Debt/Equity | 0.39 | 0.41 | Neutral |
| Current Ratio | 0.65 | 4.71 | Weak Liquidity |
| ROA | 31.49% | -314918.00% (disorted) | Strong |
LYFT outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Lyft, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-11.04%
Industry Style: Growth, Innovation, High Beta
DecliningEPS CAGR
100.49%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
546.95%
Industry Style: Growth, Innovation, High Beta
High Growth