The company generated $1.59 billion in revenue, falling short of the $1.75 billion analysts expected. It reported adjusted earnings per share of 15 cents, topping the 12-cent consensus.
Gross bookings rose 19% to $5.1 billion, while the active rider base grew 18% to 29.2 million. The board authorized a $1 billion stock repurchase program to support shareholder value.
Also Read: Lyft CEO Fires Back As Stock Tanks: ‘What Do They Want?’
For the first quarter of 2026, Lyft projects gross bookings between $4.86 billion and $5.00 billion, anticipating 17% to 20% year-over-year growth.
Analyst Actions
Multiple firms, including Wedbush and Cantor Fitzgerald, lowered their respective price forecasts on the stock.
Wedbush analyst Scott Devitt maintained a rating of Underperform on Lyft and lowered the price forecast from $16 to $13.
Cantor Fitzgerald analyst Deepak Mathivanan reiterated Lyft with a Neutral and lowered the price forecast from $21 to $14.
Needham analyst Bernie McTernan maintained a Hold rating on Lyft.
Miss On Revenue Despite Solid Bookings Growth
Wedbush: Devitt argued the company delivered a soft fourth-quarter performance despite beating expectations on bookings growth.
The analyst said Lyft's total rides grew well below Street forecasts, signaling that demand momentum remains weaker than investors want to see.
He noted that Lyft intentionally shifted its strategy away from chasing high ride volume ...
