Nasdaq Stocks

Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the SPDR S&P MIDCAP 400 ETF Trust (Symbol: MDY) where we have detected an approximate $170.5 million dollar outflow -- that's a 0.8% decrease week o

Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares ESG Aware MSCI USA ETF (Symbol: ESGU) where we have detected an approximate $1.1 billion dollar outflow -- that's a 7.8% decrease week over

Hewlett Packard Enterprise HPE recently announced that its Wi-Fi 6E-enabled HPE Aruba Networking solution has been selected by Houston Airports. The airport has chosen HPE’s Aruba Networking solution to enhance its wireless and lo

Volkswagen stock (OTCMKTS: VWAGY) has been a laggard of sorts, declining by about 18% over the last 12 months, compared to rivals GM and Toyota who have gained 14% and 20%, respectively, over the same period. However, the stock has gained about 12% year-to-date in 2024. Several f

Given its better prospects, we believe UPS stock (NYSE: UPS) is a better pick than its peer — FedEx stock (NYSE: FDX). UPS trades at a higher valuation multiple of 1.4x revenues vs. 0.7x for FedEx, due to its superior revenue growth, profitability, and financial positi

'Don't worry, be happy' sums up the current approach of financial markets to Italian debt, with investors determined to lock in high returns on Rome's government bonds and turning a blind eye as its public finances veer out of control.

A rare Beijing directive to help Vanke beat a liquidity crisis has left lenders scrabbling for the assets that the state-backed developer has proposed for collateral, as parties pull out all the stops to arrest deterioration in the property sector.

The fervor around artificial intelligence has sparked a gold rush into AI-themed ETFs, as investors seek fresh ways to play the burgeoning technology following breathtaking rallies in market darlings such as Nvidia.

On the surface level, ridesharing service provider Lyft ( NASDAQ:LYFT ) seems like an attractive, undervalued alternative to sector king Uber ( NYSE:UBER ). Further, with the economy on a recovery trek, the smaller competitor could ride coattails. However, should broader conditions become squeezed, the ridesharing industry could become commoditized. In that scenario, Lyft arguably doesn’t offer competitive distinction. Therefore, I am bearish on LYFT stock. Financial Backdrop for LYFT Stock Seemingly Points in a Positive Direction A deeper look at Lyft’s financials suggests that the stock is actually undervalued relative to rival Uber. Right now, Lyft shares trade at a forward earnings multiple of 42x and a trailing-year sales multiple of 1.51x. In sharp contrast, UBER trades at a forward earnings multiple of almost 60x and a revenue multiple of 4.3x. Considering that the comparison is between two direct competitors, LYFT stock appears to be the more attractive opportunity. Not only that, but it’s also the smaller of the two, with a market capitalization of $6.88 billion compared to Uber’s $158 billion. Therefore, Lyft should have an easier time scooping up market share in a burgeoning field. And yes, the ridesharing space is definitely a burgeoning ecosystem. According to Fortune Business Insights, this industry could expand at a compound annual growth rate of 16.3% from 2021 to 2028, culminating in a sector value of $242.73 billion. Another source, Straits Research, is even more optimistic, signaling a CAGR of 20.38% from 2023 to 2031 with an end valuation of $564.2 billion. The point is that ridesharing represents a hot space, and LYFT stock is objectively an undervalued play compared to UBER. Adding to the enthusiasm, Lyft reported adjusted earnings per share of 19 cents in its fourth quarter of Fiscal 2023. This figure beat the consensus EPS view of 8 cents. As well, the company posted revenue of $1.22 billion, matching analysts’ expectations. Notably, from Q1 through Q4, Lyft’s average positive earnings surprise came out to 531.6%. If that wasn’t enough, for the current fiscal year, analysts anticipate that Lyft will print revenue of $5.13 billion. That’s up 16.5% from last year’s tally of $4.4 billion. And in Fiscal 2025, the expectation calls for sales of $5.76 billion. If so, that would represent a 12.3% year-over-year lift. Still, the aforementioned price-to-sales ratio of 1.51 could be a value trap. Lyft’s Rival Features Superior Projected Growth When looking at earnings performances, it appears that rival Uber may be raising more questions. For example, in the company’s Q3 earnings report, it posted EPS of 10 cents, missing the consensus view of 12 cents. Still, one major difference is that Uber was profitable on a GAAP basis last year. On the other end of the scale, Lyft wasn’t profitable on a GAAP basis because of its operating losses. Therefore, the profitability stems from a non-GAAP adjusted view. Of course, that’s nothing out of the ordinary. However, when making a direct comparison, it’s difficult to ignore Uber’s advantage (so far) in this department. An even more pressing issue centers on Uber’s projected growth. By the end of the current Fiscal year, analysts believe that Uber’s sales will reach $43.28 billion, up 16.1% from last year’s print of $37.28 billion. Notably, though, for Fiscal 2025, experts believe the ridesharing giant will ring up $50.4 billion on the top line. That would be 16.4% up from 2024’s projected revenue. That’s problematic because LYFT stock is the smaller entity. Basically, its smaller size should be a tailwind for the underlying enterprise. It takes less effort to move a smaller object up the ladder than a bigger one. However, what analysts are saying is that the bigger, bulkier, and less flexible Uber will likely expand at a greater rate than the smaller, nimbler Lyft. In that case, LYFT stock may be a cheap Maserati. When it comes to automotive design, very few companies can compete with the evocative lines of the Modena, Italy-based enterprise. However, the problem with Maserati is that you could be cruising down the freeway one minute, and your car could be on fire the next. LYFT stock certainly looks comparatively cheap to UBER. That said, if the latter gets you to your destination, the premium would be worth it. Commoditization Risks Finally, if the broader economy suffers a slowdown, LYFT stock may be more vulnerable to downside risks. It’s not just that the company isn’t profitable on a GAAP basis. Rather, Lyft arguably isn’t as creative as its rival. Uber is venturing into other businesses, including efforts to disrupt the shipping industry. On the other hand, Lyft appears content to be an Uber alternative. So far, that has performed reasonably well for LYFT stock. Nevertheless, if economic conditions fluctuate, Uber’s expansive profile may help it weather the storm. Meanwhile, Lyft would likely be left fighting in an increasingly commoditized space. That could present additional challenges that make LYFT’s cheaper multiples a bit more suspect. Is LYFT Stock a Buy, According to Analysts? Turning to Wall Street, LYFT stock has a Hold consensus rating based on four Buys, 24 Holds, and two Sell ratings. The average LYFT stock price target is $15.75, implying 12.3% downside risk. The Takeaway: LYFT Stock Is Cheaper, But at What Cost? When stacked between the two, LYFT stock offers a cheaper valuation than UBER. However, the question mark is that analysts project a higher growth rate for the much larger enterprise. Given Uber’s expanding businesses, that’s not surprising. On the flip side, Lyft appears content being a ridesharing alternative. Still, this narrative could face commoditization risks if the economy starts struggling. Disclosure

The corn market initially tried for gains to start the week though faded back to close UNCH to fractionally lower. The weekly Export Inspections data showed 1.24 MMT of corn was shipped during the week that ended 3/14. That was up from 1.17 MMT the week prior and was slightly...

Soybean futures were 8 ¼ to 10 ½ cents weaker across the front months to start the week. July held above the $12 mark for the close, while May spiked over the $12 mark at the high. Soymeal futures were $2.40 to $2.80 lower on the day. Front month Soy...

The front month wheat market contracts rallied out of the weekend. Chicago prices ended the day 1 ¼ cents off the session high and 12 to 14 ¼ cents in the black. KC closed 7 ½ to 8 ¼ cents in the black for Monday. MGE was 4 ¼ to...

Front month hog prices were mostly higher, though April was a dime weaker. The back months were 25 to 80 cents higher for the close. USDA’s National Average Base Hog price was 28 cents weaker to $79.66. The CME Lean Hog Index for 3/14 was $82.34, up by 25 cents....

The cattle futures market finished the day with $1.32 to $1.80 gains across the nearby contracts. Feeders were $1.92 to $3.12 higher leading the way. USDA reported cash trades for the week from $185 to $190, though the bulk of business took place on Friday with $186 sales for the...

The May cotton futures were 163 points off their 226 point gain for the close, though the nearby contracts were still 1 to 67 points higher at the close. The Cotlook A Index for was down by 135 points to 98.45 on 3/15. USDA’s weekly Cotton Market Review showed 11,320...

The breakout rally in AI stocks, with Nvidia leading the charge, has raised concerns about a potential bubble. However, with NVDA now down about 10% from its recent highs, here are three AI chip stocks that look even more expensive than the industry leader.

Alpine Immune Sciences, Inc. (ALPN) came out with quarterly earnings of $0.15 per share, beating the Zacks Consensus Estimate of a loss of $0.32 per share. This compares to loss of $0.41 per share a year ago. These figures are adj

Bit Digital, Inc. (BTBT) came out with a quarterly loss of $0.02 per share versus the Zacks Consensus Estimate of a loss of $0.06. This compares to loss of $0.79 per share a year ago. These figures are adjusted for non-recurring i

The S&P 500 Index ($SPX ) (SPY ) Monday closed up +0.63%, the Dow Jones Industrials Index ($DOWI ) (DIA ) closed up +0.20%, and the Nasdaq 100 Index ($IUXX ) (QQQ ) closed up +0.99%. Stocks on Monday posted moderate gains, led by strength in megacap technology stocks. Tesla...

Novartis (NVS) closed the latest trading day at $95.92, indicating a -1.39% change from the previous session's end. The stock's performance was behind the S&P 500's daily gain of 0.63%. At the same time, the Dow added 0.2%, an