Published on 6 Mar 2024 on Simply Wall St. via Yahoo Finance

Lyft, Inc. (NASDAQ:LYFT) Is Expected To Breakeven In The Near Future

We feel now is a pretty good time to analyse Lyft, Inc.'s (NASDAQ:LYFT) business as it appears the company may be on the cusp of a considerable accomplishment. Lyft, Inc. operates a peer-to-peer marketplace for on-demand ridesharing in the United States and Canada. The US$6.8b market-cap company announced a latest loss of US$340m on 31 December 2023 for its most recent financial year result. As path to profitability is the topic on Lyft's investors mind, we've decided to gauge market sentiment. Below we will provide a high-level summary of the industry analysts’ expectations for the company.

View our latest analysis for Lyft

Lyft is bordering on breakeven, according to the 37 American Transportation analysts. They anticipate the company to incur a final loss in 2025, before generating positive profits of US$58m in 2026. So, the company is predicted to breakeven approximately 2 years from today. How fast will the company have to grow each year in order to reach the breakeven point by 2026? Working backwards from analyst estimates, it turns out that they expect the company to grow 79% year-on-year, on average, which is extremely buoyant. Should the business grow at a slower rate, it will become profitable at a later date than expected.