Lyft stock should not close today above $100—but it will
An iPhone with the Lyft ride-sharing app on it shows cars in the area on Park Avenue in New York City March 26, 2019. - Photo by TIMOTHY A. CLARY / AFPRide-sharing service, Lyft, will begin trading today. And I think it will top $100 by the close of trading.Lyft is enjoying overwhelming demand for its shares. When its IPO priced on March 28, they were valued at $72 -- about $10 more than initially planned. Its stock market capitalization is now $20 billion.
But Lyft -- which says it controls 39% of the ride-sharing market -- lacks a scalable business model. According to itsLyft stock could peak today -- as Snap's did when it went public -- and keep plunging from there.Lyft's executives -- Logan Green and John Zimmer -- have not previously run a public company. But due to dual class shares, they have voting control of the company and anyone who buys into the stock today has relatively little.
The dual class structure of our common stock will have the effect of concentrating voting power with our Co-Founders, Logan Green and John Zimmer, who will hold 29.31% and 19.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Lyft Inc. Cl ALyft Inc. Cl A stock price, stock quotes and financial overviews from MarketWatch.
Read more »
Australian fintech Airwallex gains unicorn status after $100 million funding roundAirwallex raised $100M in a Series C funding round led by DST Global with participants Sequoia China, Tencent, Hillhouse Capital, and Gobi Partners.
Read more »
If you hit the $750 million Powerball jackpot, here's your tax billRight off the bat, the IRS would get more than $100 million in taxes.
Read more »
How this scammer used phishing emails to steal over $100 million from Google and FacebookHow this scammer used phishing emails to steal over $100 million from Google and Facebook via CNBCMakeIt
Read more »
Huawei tops $100 billion revenue for first time despite political headwindsHuawei's revenues topped $100 billion for the first time in 2018 driven by strong growth in the consumer business, although the carrier division declined slightly.
Read more »
$100 antique discovered at garage sale auctioned off for $2.1 million at Sotheby’sThis $100 antique discovered at a garage sale was just auctioned off for $2.1 million at Sotheby's
Read more »
34 Inexpensive Pieces Of Decor For When You're Broke But Want To RedecorateEverything is less than $100!
Read more »
Lithuanian pleads guilty in U.S. to $100 million fraud against Google, FacebookThe scheme is an example of 'business email compromise,' in which fraudsters ask for money using emails targeted at companies that work with foreign suppliers.
Read more »