Lyft (LYFT) Down 4.9% Since Last Earnings Report: Can It Rebound?

A month has gone by since the last earnings report for Lyft (LYFT). Shares have lost about 4.9% in that time frame, underperforming the S&P 500.

But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Lyft due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.

Earnings Miss at LYFT in Q4

Lyft reported unimpressive fourth-quarter 2025 results, wherein both earnings and revenues missed the Zacks Consensus Estimate.

Lyft reported loss per share of 20 cents compared with the Zacks Consensus Estimate of earnings 32 cents. In the year-ago quarter, Lyft reported earnings per share of 30 cents. Revenues of $1.59 billion missed the Zacks Consensus Estimate of $1.76 billion but increased 2.7% on a year-over-year basis.

Gross Bookings of $5.07 billion increased 19% year over year in fourth-quarter 2025. In 2025, rides grew 14% to 945.5 million rides (an all time high) with the fourth quarter being the eleventh consecutive quarter of double digit growth year over year. In fourth quarter, active riders grew 18% year over year to 29.2 million. In 2025, Lyft reached another all-time high of 51.3 million annual riders.

Lyft’s fourth-quarter 2025 adjusted EBITDA went up 37% year over year to $154.1 million. Adjusted EBITDA margin (calculated as a percentage of gross bookings) rose to 3.0% from 2.6% in the year-ago reported quarter.

Lyft exited the fourth quarter with cash and cash equivalents of $1.13 billion compared with $1.31 billion at the end of the prior quarter. Long-term debt, net of the current portion at the end of the reported quarter, was $1.00 billion compared with $1.01 billion at the end of the prior quarter.

Following the inaugural share repurchase program in 2025, Lyft’s board of directors has authorized the repurchase of up to an additional $1 billion shares.

LYFT’s Q1 2026 Guidance

For the first quarter of 2026, Lyft anticipates gross bookings are anticipated to grow almost 17-20% year over year, reaching $4.86-$5.00 billion.

Adjusted EBITDA is expected in the range of $120 million to $140 million. Adjusted EBITDA margin (calculated as a percentage of gross bookings) is expected to be in the range of 2.5% to 2.8%.

How Have Estimates Been Moving Since Then?

In the past month, investors have witnessed a downward trend in estimates revision.

The consensus estimate has shifted -13.46% due to these changes.

VGM Scores

At this time, Lyft has a subpar Growth Score of D, however its Momentum Score is doing a lot better with a B. Charting a somewhat similar path, the stock was allocated a score of A on the value side, putting it in the top quintile for value investors.

Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Lyft has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

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This article originally published on Zacks Investment Research (zacks.com).

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