Lemonade Sees Unusually Large Options Volume (NYSE:LMND)

Lemonade, Inc. (NYSE:LMND) was the recipient of unusually large options trading on Monday. Investors purchased 17,303 call options on the stock. This is an increase of approximately 69% compared to the typical volume of 10,217 call options.

Insider Transactions at Lemonade

In related news, major shareholder Softbank Group Capital Ltd sold 422,177 shares of the business’s stock in a transaction dated Friday, May 2nd. The shares were sold at an average price of $30.17, for a total transaction of $12,737,080.09. Following the sale, the insider now owns 10,015,984 shares of the company’s stock, valued at $302,182,237.28. The trade was a 4.04% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. In the last quarter, insiders sold 2,742,991 shares of company stock valued at $87,349,818. Corporate insiders own 14.70% of the company’s stock.

Institutional Trading of Lemonade

Large investors have recently modified their holdings of the company. KBC Group NV bought a new position in Lemonade in the fourth quarter worth approximately $80,000. Strategic Financial Concepts LLC bought a new position in Lemonade in the 4th quarter worth $2,712,000. Woodward Diversified Capital LLC purchased a new position in Lemonade during the fourth quarter valued at $381,000. Bristlecone Advisors LLC grew its stake in shares of Lemonade by 10.2% during the 4th quarter. Bristlecone Advisors LLC now owns 14,577 shares of the company’s stock valued at $535,000 after acquiring an additional 1,348 shares during the period. Finally, Rhumbline Advisers lifted its stake in shares of Lemonade by 2.1% during the 4th quarter. Rhumbline Advisers now owns 75,705 shares of the company’s stock valued at $2,777,000 after buying an additional 1,561 shares in the last quarter. Institutional investors own 80.30% of the company’s stock.

Lemonade Stock Down 2.1%

NYSE:LMND opened at $35.11 on Wednesday. The stock has a market cap of $2.57 billion, a price-to-earnings ratio of -11.55 and a beta of 2.14. The company’s 50 day moving average price is $29.96 and its 200-day moving average price is $34.99. Lemonade has a 52 week low of $14.03 and a 52 week high of $53.85.

Lemonade (NYSE:LMND) last issued its earnings results on Wednesday, May 7th. The company reported ($0.86) EPS for the quarter, missing the consensus estimate of ($0.84) by ($0.02). Lemonade had a negative net margin of 43.51% and a negative return on equity of 32.85%. The company’s revenue for the quarter was up 27.0% on a year-over-year basis. During the same period in the previous year, the company earned ($0.67) EPS. As a group, sell-side analysts anticipate that Lemonade will post -3.03 earnings per share for the current year.

Wall Street Analysts Forecast Growth

LMND has been the subject of several recent research reports. Morgan Stanley lowered shares of Lemonade from an “equal weight” rating to an “underweight” rating and lowered their target price for the company from $35.00 to $24.00 in a report on Tuesday, April 8th. Keefe, Bruyette & Woods lowered their price objective on Lemonade from $25.00 to $22.00 and set an “underperform” rating for the company in a research note on Tuesday, April 22nd. Finally, Piper Sandler dropped their target price on Lemonade from $44.00 to $34.00 and set a “neutral” rating on the stock in a report on Wednesday, February 26th. Four analysts have rated the stock with a sell rating, one has issued a hold rating and one has issued a buy rating to the company. Based on data from MarketBeat, the company has an average rating of “Hold” and an average price target of $28.17.

About Lemonade

Lemonade, Inc provides various insurance products through various channels in the United States, Europe, and the United Kingdom. Its insurance products include stolen or damaged property, and personal liability that protects its customers if they are responsible for an accident or damage to another person or their property.