Lemonade (LMND) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates

For the quarter ended September 2024, Lemonade (LMND) reported revenue of $136.6 million, up 19.3% over the same period last year. EPS came in at -$0.95, compared to -$0.88 in the year-ago quarter.The reported revenue represents a surprise of +7.54% over the Zacks Consensus Estimate of $127.02 million. With the consensus EPS estimate being -$1.02, the EPS surprise was +6.86%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.Here is how Lemonade performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: In force premium (end of period): $889.10 million versus $878.55 million estimated by five analysts on average. Net loss ratio: 81% compared to the 80.7% average estimate based on four analysts. Gross loss ratio: 73% versus the four-analyst average estimate of 81.3%. Premium per Customer (end of period): $384 versus the four-analyst average estimate of $390.92. Customers (end of period): 2,313,113 compared to the 2,249,386 average estimate based on four analysts. Net earned premium: $95.70 million versus $95.10 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +10.5% change. Commission income: $8 million versus the five-analyst average estimate of $6.02 million. The reported number represents a year-over-year change of +90.5%. Net investment income: $8.90 million versus the five-analyst average estimate of $8.57 million. The reported number represents a year-over-year change of +27.1%. Ceding commission income: $24 million versus $17.55 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +43.7% change. View all Key Company Metrics for Lemonade here>>>Shares of Lemonade have returned +11.9% over the past month versus the Zacks S&P 500 composite's +1.8% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.Zacks Names #1 Semiconductor StockIt's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Lemonade, Inc. (LMND): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks