Lyft Stock Is Soon To Hit The Market With IPO Filing
Lyft stock is one step closer to reaching the stock market as it has filed the required paperwork for its IPO. The Lyft IPO price has not yet been decided on. Lyft stock is expected to be floated on the stock market in the first half of 2019.
Lyft has beat its main competitor Uber in the race for filing an IPO. Unlike most company’s on the stock market, Lyft’s workforce is made up from part-time workers. Lyft’s IPO will be a good indication wether investors can get behind a company which doesn’t have full-time staffers. The future of Lyft is quite dependent on the company’s ability to keep its drivers on-board and not leave Lyft for another ride-hailing app. Lyft stock success will be determined in-part by the company’s ability to increase the quality of its drivers and user experience.
Lyft Stock IPO
Lyft was last valued at near $15 billion in a round of private fundraising. However, the company did not state how many shares that it would be selling in its IPO or the price range.
Before Lyft stock reaches IPO, it must first be reviewed by the SEC. Analysts are expecting Lyft’s valuation to be around $20 billion to $30 billion.
When Lyft stock does hit the market, it will be one of the larger company’s to do so in the past 12-months. Both Spotify and Dropbox had their IPO’s this year.
Some experts are looking at current market declines as a cause for concern with Lyft going public. However, many believe that a company waiting too long to go public is also a bad decision as the market could drop even further.
Tech investors are watching closely as Uber (Lyft’s biggest rival) looks to take on its IPO some time in 2019. To remain competitive against Uber, we have seen Lyft sacrifice their bottom line as they enter new markets. In recent times Lyft has managed to minimize its losses and to make itself more attractive for investors. Lyft was founded in June 2012, whilst Uber as founded three years before in 2009.
Both Uber and Lyft have said that they expect to increase profits by utilizing autonomous vehicles and not using human-drivers. Although, it is unlikely that we will see these technical advancements hit our streets in the next few years.
For the Lyft IPO, JPMorgan Chase & Co were hired, along with Credit Suisse and Jefferies as the underwriters. There is no official word on the Lyft stock symbol, but we expect the Lyft stock ticker to be LYFT for obvious reasons.
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