Lyft Stock Gets a Lift on Long-Term Financial Targets
Lyft stock is trading higher Friday after the ride-sharing firm provided 2027 financial targets at its first-ever Investor Day. Here's what you need to know.


Lyft (LYFT) stock is trading higher Friday after the ride-sharing company provided its 2027 financial targets at its first Investor Day.
In the presentation, Lyft said it expects a compound annual growth rate in gross bookings of approximately 15% between 2024 and 2027 and an adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) margin of approximately 4% on a full-year basis in 2027.
The company also anticipates a free cash flow conversion of more than 90% as a percentage of adjusted EBITDA annually each year between 2025 and 2027.
From just $107.88 $24.99 for Kiplinger Personal Finance
Be a smarter, better informed investor.

Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
"Over the last year, we've transformed our business and established a strong foundation for improving profitability and cash flow," said Erin Brewer, chief financial officer at Lyft, in a statement. "The financial targets we are announcing today reflect our expectations of healthy top-line growth and margin expansion as we deliver on our strategic priorities. I'm excited about Lyft's next chapter as we continue building a financially healthy and customer-obsessed Lyft."
The company also reaffirmed its outlook for the second quarter and full fiscal year, which it provided in its first-quarter earnings report last month.
"Lyft's customer-obsessed strategy is working," Lyft CEO David Risher said in the company's Investor Day press release. "Our execution keeps getting better, we're delivering industry-leading innovation, and we are working closely with partners to create great shared customer experiences."
Is Lyft stock a buy, sell or hold?
Wedbush analyst Scott Devitt attended Lyft's Investor Day presentation. "We are encouraged by the strength of the outlook, though we recognize that there is execution risk given the multi-year nature of the guidance and uncertainty related to macro and competitive dynamics over an extended time horizon," Devitt writes in a note to clients.
However, Devitt maintained a Neutral (Hold) rating on Lyft stock and recommended investors "allocate to Uber (UBER) for category exposure." However, the analyst did raise his price target on the industrial stock to $19 from $18.
Overall, most analysts are bullish toward Lyft. According to S&P Global Market Intelligence, the consensus analyst target price for LYFT stock is $19.51, representing implied upside of more than 20% to current levels. Meanwhile, the consensus recommendation is a Buy.
Related Content
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

Joey Solitro is a freelance financial journalist at Kiplinger with more than a decade of experience. A longtime equity analyst, Joey has covered a range of industries for media outlets including The Motley Fool, Seeking Alpha, Market Realist, and TipRanks. Joey holds a bachelor's degree in business administration.
-
Planning a Major Home Renovation? 3 Smart Ways to Finance It
From HELOCs to personal loans, here’s how to pay for a major home renovation without draining your savings.
-
Six Warren Buffett Quotes Every Retiree Should Live By
The 'Oracle of Omaha' knows a thing or two about life, investing and retirement.
-
Six Warren Buffett Quotes Every Retiree Should Live By
The 'Oracle of Omaha' knows a thing or two about life, investing and retirement.
-
Budget Hacks Won't Cut It: These Five Strategies From a Financial Planner Can Help Build Significant Wealth
Cutting out your daily latte might make you feel virtuous, but tracking pennies won't pay off. Here are some strategies that can actually build wealth.
-
To Unwrap a Budget-Friendly Holiday, Consider These Smart Moves From a Financial Professional
You can avoid a 'holiday hangover' of debt by setting a realistic budget, making a detailed list, considering alternative gifts, starting to save now and more.
-
Stocks Rise to End a Volatile Week: Stock Market Today
The market's fear index reached and retreated from a six-month intraday peak on Friday as stocks closed the week well.
-
I Bought Palantir When It Was Trading at $8. Now It's $180 and I've Made $1 Million. What Do I Do?
What do you do with all that appreciated Palantir stock? We asked a financial expert for advice.
-
Treat Home Equity Like Other Investments in Your Retirement Plan: Look at Its Track Record
Homeowners who are considering using home equity in their retirement plan can analyze it like they do their other investments. Here's how.
-
Why Does It Take Insurers So Darn Long to Pay Claims? An Insurance Expert Explains
The process of verification, investigation and cost assessment after a loss is complex and goes beyond simply cutting a check.
-
Two Reasons to Consider Deferred Compensation in the Wake of the OBBB, From a Financial Planner
Deferred compensation plans let you potentially lower your current taxes and help to keep you out of a higher tax bracket. It's important to consider the risks.