Lemonade (NYSE:LMND) Reaches New 12-Month High – What’s Next?

Lemonade, Inc. (NYSE:LMND) shares reached a new 52-week high during mid-day trading on Thursday . The stock traded as high as $95.10 and last traded at $97.2810, with a volume of 2333000 shares. The stock had previously closed at $85.36.

Lemonade News Roundup

Here are the key news stories impacting Lemonade this week:

• Positive Sentiment: Strategic Tesla partnership — Lemonade announced a technical collaboration to price miles driven under Tesla FSD with a ~50% discount, which investors view as validation of Lemonade’s data-driven pricing and a potential path to profitable customer acquisition. Lemonade’s Tesla Deal Could Rewrite How Auto Insurance Is Priced
• Positive Sentiment: Product rollout & market reaction — Multiple press pieces highlight Lemonade’s new autonomous‑vehicle insurance for Tesla FSD users and the stock recently hit a multi‑year/52‑week high as investors priced in growth and margin upside from cross‑selling and lower acquisition costs. Insurtech Lemonade Unveils AI‑Driven Insurance for Autonomous Vehicles
• Positive Sentiment: Unusual bullish options flow — Traders bought a material number of call contracts (notable increase vs. average), signalling speculative bullish interest that can amplify moves if the partnership narrative continues to play out.
• Neutral Sentiment: Analyst attention & target resets — Coverage is being refreshed after the Tesla announcement; some analysts are raising targets while others caution gains may be short‑lived unless fundamentals keep improving. How Lemonade Is Rewriting Its Story As Analyst Targets Reset
• Neutral Sentiment: Zacks note on sustainability of the jump — Zacks flagged that heavy volume and estimate revisions drove the recent ~13% jump but warned that the momentum may not immediately extend without follow‑through on estimates. Strength Seen in Lemonade: Can Its 13.1% Jump Turn into More Strength?
• Negative Sentiment: Large insider sales — CEO Daniel Schreiber sold 126,625 shares (~$12.0M at ~$94.74) and another insider (John Sheldon Peters) sold 9,000 shares (~$810k). These sizable, disclosed Form 4 sales can be interpreted as near‑term supply pressure or signal for some investors to take profits. Schreiber SEC Form 4 Peters SEC Form 4
• Negative Sentiment: Execution & regulatory risk — The Tesla product rollout is currently limited and depends on FSD safety metrics and state/regulatory approvals; any setbacks or higher claims could hurt Lemonade’s improved margin story (this is noted in coverage of the deal).

Analyst Ratings Changes

Several equities research analysts recently weighed in on the company. Citizens Jmp boosted their target price on Lemonade from $60.00 to $80.00 and gave the stock a “market outperform” rating in a report on Monday, November 24th. Keefe, Bruyette & Woods boosted their price objective on shares of Lemonade from $35.00 to $40.00 and gave the stock an “underperform” rating in a research note on Tuesday, November 25th. Cantor Fitzgerald upped their price objective on shares of Lemonade from $85.00 to $92.00 and gave the stock an “overweight” rating in a report on Wednesday, January 14th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Lemonade in a report on Thursday. Finally, Morgan Stanley set a $85.00 target price on shares of Lemonade and gave the stock an “equal weight” rating in a research report on Tuesday, December 16th. Four investment analysts have rated the stock with a Buy rating, two have given a Hold rating and three have issued a Sell rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $71.50.

Lemonade Trading Down 3.6%

The firm’s fifty day moving average price is $77.82 and its 200-day moving average price is $61.44. The company has a market cap of $6.96 billion, a P/E ratio of -38.95 and a beta of 1.98.

Lemonade (NYSE:LMND) last released its earnings results on Wednesday, November 5th. The company reported ($0.51) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.72) by $0.21. The business had revenue of $194.50 million for the quarter, compared to the consensus estimate of $185.06 million. Lemonade had a negative return on equity of 31.86% and a negative net margin of 26.39%.The firm’s revenue for the quarter was up 42.4% compared to the same quarter last year. During the same period last year, the business earned ($0.95) earnings per share. As a group, research analysts forecast that Lemonade, Inc. will post -3.03 earnings per share for the current fiscal year.

Insider Transactions at Lemonade

In related news, CEO Daniel A. Schreiber sold 126,625 shares of the company’s stock in a transaction dated Thursday, January 22nd. The shares were sold at an average price of $94.74, for a total value of $11,996,452.50. Following the sale, the chief executive officer owned 1,523,534 shares of the company’s stock, valued at $144,339,611.16. The trade was a 7.67% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, insider John Sheldon Peters sold 9,000 shares of the stock in a transaction that occurred on Thursday, January 22nd. The stock was sold at an average price of $90.00, for a total value of $810,000.00. Following the completion of the transaction, the insider directly owned 70,228 shares of the company’s stock, valued at approximately $6,320,520. The trade was a 11.36% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 306,350 shares of company stock valued at $25,870,918. Company insiders own 14.70% of the company’s stock.

Hedge Funds Weigh In On Lemonade

A number of institutional investors have recently modified their holdings of LMND. JPMorgan Chase & Co. raised its position in shares of Lemonade by 30.8% during the third quarter. JPMorgan Chase & Co. now owns 3,506,171 shares of the company’s stock worth $187,685,000 after acquiring an additional 825,522 shares during the last quarter. BIT Capital GmbH increased its position in Lemonade by 69.3% in the third quarter. BIT Capital GmbH now owns 1,254,345 shares of the company’s stock worth $67,145,000 after purchasing an additional 513,424 shares during the period. Jump Financial LLC raised its holdings in Lemonade by 365.8% during the 2nd quarter. Jump Financial LLC now owns 581,378 shares of the company’s stock worth $25,470,000 after purchasing an additional 456,571 shares during the last quarter. Halter Ferguson Financial Inc. lifted its position in Lemonade by 101.3% during the 3rd quarter. Halter Ferguson Financial Inc. now owns 575,906 shares of the company’s stock valued at $30,828,000 after purchasing an additional 289,803 shares during the period. Finally, Analyst IMS Investment Management Services Ltd. boosted its stake in shares of Lemonade by 80.7% in the 2nd quarter. Analyst IMS Investment Management Services Ltd. now owns 571,768 shares of the company’s stock valued at $25,049,000 after purchasing an additional 255,368 shares during the last quarter. 80.30% of the stock is owned by institutional investors.

Lemonade Company Profile

Lemonade, Inc (NYSE: LMND) is a New York–based technology-driven insurance carrier that leverages artificial intelligence and behavioral economics to streamline the purchase and management of policies. Founded in 2015, the company offers renters, homeowners, pet, term life and car insurance products tailored for digitally savvy consumers. By automating underwriting and claims processing through chatbots and machine learning, Lemonade aims to deliver a more transparent and user-friendly experience than traditional insurers.

The company’s product suite includes standalone policies for renters and homeowners, customizable pet insurance plans, and term life coverage with simple online applications.