Lyft, the ridesharing company set to hit public markets Friday, will be a good stock to buy in the short term but it has challenges in the long run, CNBC's Jim Cramer said Friday.
In evaluating the tech company, Cramer highlighted pros and cons about Lyft as it looks to continue taking market share in the growing transportation-as-a-service business. He predicted the company will be worth $21.5 billion and the stock could sell between 3.8 to 4.8 times next year's sales. Lyft is a great growth story, the host said. After launching in San Francisco in 2012, it has expanded to more than 300 markets across the country and Canada. With 18.6 million active users as of December, 1.1 million drivers, and 39 percent market share, it practically has a duopoly with Uber, he said.
"The biggest concern here is that Lyft lost nearly a billion dollars last year and we have no idea when it will become profitable," Cramer said."Yesterday the company held a major investor meeting where they indicated that 2019 will be a peak year for investing in the business ... The problem here is that if anything starts to go off the rails, there's nothing propping up the stock.
This is gonna be one of the best performing companies going forward. How big was Uber? The fact they came in & challenged them is amazing. This just proves this guy is garbage on advice. He should of said mark my words.
I refuse to invest in any company that can’t spell “lift” correctly.
Bolide explosion of 173 Kiloton over Bering Sea
Cramer also said all was well before July or so, 2008.
Yea, putting every single cent i have into it now. Thanks Cramer.
If you listen to cramer for investing advice & guidance you shouldn't be investing.. fuck whatever he has too say about anything finance or investing related
CRAMER IS ALWAYS FREAKING WRONG. WHY DO YOU EVEN HAVE THIS JOKE?
He said the samething with tesla and it shot up 10x. 😂😂😂😂
Who wouldn’t be without understanding the business model in full
How much more innovation can you possibly achieve?
Hey may just be saying that so he can manipulate the stock and short it