Lyft (NASDAQ: LYFT) – Turning the Corner with Solid Execution and a Bullish Outlook
Lyft (NASDAQ: LYFT) is starting to look like more than just a turnaround story—it’s becoming a credible growth opportunity again. After delivering a solid Q1 earnings beat, the company is showing signs of real operating momentum.
Adjusted EBITDA came in at $106.5 million, well above the $92.4 million estimate from FactSet. That kind of upside surprise is hard to ignore. Even more importantly, gross bookings rose 15% year-over-year—a clear sign that both rider demand and driver supply are strengthening.
What’s driving the acceleration? Lyft’s been moving quickly on product innovation and platform upgrades, which seem to be resonating with both sides of the marketplace. The company also bumped its buyback plan from $500 million to $750 million, a vote of confidence in its long-term value by management.
Goldman Sachs took note of the progress, upgrading the stock to Buy with a 12-month price target of $20, up from $19. That implies a 54% upside from Thursday’s close. Analyst Eric Sheridan pointed to Lyft’s role in the evolving hybrid/autonomous vehicle ecosystem as a potential tailwind and emphasized the company’s long-term earnings potential, which he believes is not currently reflected in the share price.
Yes, there’s still debate around rideshare pricing, competition, and broader consumer trends—but the fundamentals are improving. Lyft guided for mid-teens bookings growth again in Q2, which reinforces the momentum we’re starting to see in the numbers.
While most of Wall Street is still sitting on the sidelines (33 of 47 analysts rate the stock a Hold), this may be one of those inflection points where early conviction pays off. The technicals are improving, the business is delivering, and sentiment could catch up quickly if Lyft keeps executing.
