Investors Buy Large Volume of Call Options on Lemonade (NYSE:LMND)

Lemonade, Inc. (NYSE:LMND) saw some unusual options trading on Monday. Investors bought 17,881 call options on the stock. This represents an increase of approximately 53% compared to the typical daily volume of 11,689 call options.

Insider Activity at Lemonade

In other Lemonade news, insider John Sheldon Peters sold 1,494 shares of the stock in a transaction that occurred on Tuesday, June 3rd. The stock was sold at an average price of $35.25, for a total value of $52,663.50. Following the transaction, the insider now owns 106,115 shares in the company, valued at approximately $3,740,553.75. This represents a 1.39% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, major shareholder Softbank Group Capital Ltd sold 42,160 shares of the stock in a transaction that occurred on Wednesday, March 26th. The stock was sold at an average price of $37.22, for a total value of $1,569,195.20. Following the completion of the transaction, the insider now owns 10,452,476 shares in the company, valued at approximately $389,041,156.72. The trade was a 0.40% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 2,540,162 shares of company stock worth $79,825,724 in the last 90 days. Corporate insiders own 12.50% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of LMND. JPMorgan Chase & Co. grew its stake in Lemonade by 2,627.9% in the 4th quarter. JPMorgan Chase & Co. now owns 1,349,356 shares of the company’s stock valued at $49,494,000 after purchasing an additional 1,299,891 shares during the period. Vanguard Group Inc. grew its stake in Lemonade by 14.9% in the 1st quarter. Vanguard Group Inc. now owns 6,138,444 shares of the company’s stock valued at $192,931,000 after purchasing an additional 794,952 shares during the period. Two Sigma Investments LP bought a new position in Lemonade in the 4th quarter valued at $22,066,000. Voloridge Investment Management LLC bought a new position in Lemonade in the 4th quarter valued at $21,310,000. Finally, Two Sigma Advisers LP bought a new position in Lemonade in the 4th quarter valued at $15,412,000. Institutional investors own 80.30% of the company’s stock.

Lemonade Trading Up 3.6%

Shares of LMND opened at $45.90 on Tuesday. The stock has a 50 day moving average of $33.31 and a 200 day moving average of $34.31. The company has a market capitalization of $3.36 billion, a price-to-earnings ratio of -15.10 and a beta of 2.14. Lemonade has a 12 month low of $14.90 and a 12 month high of $53.85.

Lemonade (NYSE:LMND) last announced its quarterly earnings data on Wednesday, May 7th. The company reported ($0.86) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.84) by ($0.02). Lemonade had a negative net margin of 38.90% and a negative return on equity of 36.72%. The business’s quarterly revenue was up 27.0% compared to the same quarter last year. During the same period in the prior year, the company posted ($0.67) earnings per share. As a group, equities research analysts predict that Lemonade will post -3.03 earnings per share for the current year.

Analyst Ratings Changes

Several analysts have recently commented on the company. Piper Sandler lowered their price objective on Lemonade from $44.00 to $34.00 and set a “neutral” rating for the company in a research note on Wednesday, February 26th. 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, Morgan Stanley downgraded Lemonade from an “equal weight” rating to an “underweight” rating and lowered their price objective for the stock from $35.00 to $24.00 in a research note on Tuesday, April 8th. Four equities research analysts have rated the stock with a sell rating, one has given a hold rating and one has assigned a buy rating to the stock. According to MarketBeat, the stock currently has an average rating of “Hold” and an average target price of $28.17.

Lemonade Company Profile

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.