Lyft has been playing second fiddle to its larger ride-hailing rival, but new CEO David Risher bought a large block of stock backed by his optimism for the company.
Risher was named Lyft CEO effective on April 17, and one of his first acts was terminating nearly 1,100 employees, about 26% of the workforce, that month. Disappointing guidance the next month sent shares sliding. On Aug. 8, after the market closed, Lyft reported strong second-quarter numbers that were overshadowed by a mixed outlook. Shares slipped.
In response to a request for comment, Risher wrote in an email, “This is all about investing in Lyft as we build a very successful, very customer-obsessed business. Seeing this team in action shows me it’s the best investment I could make.”
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