Wells Fargo Boosts Lyft (LYFT) PT to $26 on Strong US Outlook, Remains Neutral Due to International Diversification Concerns

Lyft Inc. (NASDAQ:LYFT) is 1 of the high abbreviated involvement stocks to bargain close now. On December 9, Wells Fargo raised the firm’s terms people connected Lyft to $26 from $20, portion maintaining an Equal Weight standing connected the shares. Wells Fargo acknowledged that due to the fact that Lyft is chiefly a US rideshare operator, its affirmative outlook for the US rideshare marketplace successful 2026 is simply a wide payment to the stock. However, the steadfast is maintaining a neutral stance due to the fact that it views Lyft’s caller diversification into non-US assets arsenic a determination that volition negatively interaction some its valuation aggregate and its maturation rate.

In Q3 2025, Lyft achieved 10.67% year-over-year maturation successful its quarterly revenue, which totaled $1.69 cardinal but missed expectations by $13.18 million. The institution besides earned $0.30 per share, though this fig missed Street estimates by $0.01. The 4th saw caller grounds highs successful Driver Hours, Active Riders, and Gross Bookings. Market request remained robust, evidenced by a grounds 18% summation successful Active Riders and a 16% summation successful Gross Bookings. A important information of this maturation came from areas the institution considers underpenetrated, with 70% of thrust maturation successful Q3 originating from these markets.

Lyft is executing respective strategical initiatives. Its concern with United Airlines is present live, enabling users to gain miles connected eligible rides, which is expected to heighten lawsuit loyalty. The institution has besides expanded its AV partnerships, including collaborations with Waymo and Tensor, powered by NVIDIA (NASDAQ:NVDA), positioning Lyft crossed the AV worth chain. Furthermore, acquisitions similar Free Now successful Europe and TBR Global Chauffeuring are intended to treble Lyft’s TAM and grow its planetary beingness and high-value work offerings.

Lyft Inc. (NASDAQ:LYFT) operates a peer-to-peer marketplace for on-demand ridesharing successful the US and Canada. The institution operates multimodal proscription networks that connection entree to assorted proscription options done the Lyft level and mobile-based applications.

While we admit the imaginable of LYFT arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you’re looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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Disclosure: None. This nonfiction is primitively published at Insider Monkey.