Lemonade, Inc.
- Open
- 51.50
- Day high
- 53.30
- Day low
- 51.38
- Prev close
- 51.34
- Volume
- 804K
- Mkt cap
- $4.1B
- P/E (TTM)
- —
- EPS (TTM)
- —
- P/B
- 8.2
- P/S
- 4.4
- Yield
- —
- Per share
- —
- ▼Insiders net selling -$7.1M over the last 3 months (0 open-market buys, 7 sales)
- 🏛Institutions accumulating (13F)
Lemonade, Inc. (LMND) is a Financial Services company listed on NYSE. The stock is up 6% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 7 sales (SEC Form 4). Drillr has 1 published research article covering LMND.
Lemonade, Inc. (LMND) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 3 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
LMND earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Jul 29, 2026 | $-0.56 | $-0.56 | +0.8% | $294M | +1.2% |
| Apr 29, 2026 | $-0.58 | $-0.47 | +19.0% | $258M | +2.6% |
| Feb 19, 2026 | $-0.41 | $-0.29 | +29.3% | $184M | -27.5% |
| Nov 5, 2025 | $-0.72 | $-0.51 | +29.2% | $195M | -10.8% |
| Jul 30, 2024 | $-0.85 | $-0.81 | +4.7% | $122M | +0.2% |
| Apr 30, 2024 | $-0.81 | $-0.67 | +17.3% | $119M | +3.2% |
| Feb 27, 2024 | $-0.79 | $-0.61 | +22.8% | $116M | -3.6% |
| Nov 1, 2023 | $-0.93 | $-0.88 | +5.4% | $115M | +9.6% |
| Aug 2, 2023 | $-1.03 | $-0.97 | +5.8% | $105M | +1.1% |
| May 3, 2023 | $-1.14 | $-0.95 | +16.7% | $95M | +4.7% |
| Feb 22, 2023 | $-1.17 | $-0.93 | +20.5% | $88M | +13.0% |
| Feb 23, 2022 | $-1.13 | $-1.14 | -0.9% | $41M | +4.1% |
LMND insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Aug 17, 2026 | Peters John Sheldonofficer: Chief Insurance Officer | Sell | 11,000 | $52.55 |
| Jul 29, 2026 | Peters John Sheldonofficer: Chief Insurance Officer | Grant | 10,000 | — |
| Jul 9, 2026 | BIXBY TIMOTHY Eofficer: Chief Financial Officer | Sell | 73,000 | $79.18 |
| Jul 8, 2026 | Peters John Sheldonofficer: Chief Insurance Officer | Sell | 3,444 | $79.00 |
| Jun 5, 2026 | Seeley Geoffdirector | Grant | 2,848 | — |
| Jun 5, 2026 | Peters John Sheldonofficer: Chief Insurance Officer | Sell | 1,735 | $53.17 |
| Jun 5, 2026 | BIXBY TIMOTHY Eofficer: Chief Financial Officer | Sell | 2,227 | $53.17 |
| Jun 5, 2026 | Schwartz Debradirector | Grant | 2,848 | — |
| Jun 5, 2026 | Haj-Yehia Samerdirector | Grant | 2,848 | — |
| Jun 5, 2026 | Angelidis-Smith Mariadirector | Grant | 2,848 | — |
| Jun 5, 2026 | Prosor Mayaofficer: Chief Business Officer | Sell | 1,220 | $53.17 |
| Jun 5, 2026 | Ratanchandani Prashantdirector | Grant | 2,848 | — |
| Jun 5, 2026 | Peters John Sheldonofficer: Chief Insurance Officer | Sell | 3,608 | $52.94 |
| Mar 30, 2026 | Angelidis-Smith Mariadirector | Buy | 5,390 | $55.70 |
| Mar 30, 2026 | Angelidis-Smith Mariadirector | Buy | 3,350 | $55.30 |
Source: LMND SEC Form 4 filings, latest Aug 17, 2026. For informational purposes only — not investment advice.
See the full LMND insider & 13F page →Lemonade, Inc. company profile
Overview
Lemonade, Inc. (NYSE:LMND) is a technology-driven insurance company that was founded in 2015 and went public in July 2020. The company was originally incorporated as Lemonade Group, Inc. before changing its name to Lemonade, Inc. Headquartered in New York, Lemonade has positioned itself as a digital-first insurance provider that leverages artificial intelligence and behavioral economics to offer various property and casualty insurance products. The company operates primarily in the United States and has expanded into European markets, serving over 2.5 million customers as of 2025.
Business
Lemonade operates in the property and casualty insurance industry, which provides coverage for personal property damage and liability protection. The insurance industry traditionally involves complex processes for underwriting (assessing risk), policy management, claims processing, and customer service - areas where Lemonade applies technology to streamline operations. The company offers several core insurance products. Renters insurance protects tenants' personal belongings and provides liability coverage if they accidentally damage someone else's property or cause injury. Homeowners insurance covers property damage to homes and personal belongings, plus liability protection for homeowners. Pet insurance helps cover veterinary expenses for dogs and cats. Car insurance provides the legally required coverage for vehicle accidents, including property damage and bodily injury liability, as well as coverage for the policyholder's own vehicle. The company also offers life insurance and landlord insurance policies for property owners who rent out their units. Based on recent financial data, the company's business segments generate revenue as follows: car insurance represents approximately 15% of in-force premium, while the remaining 85% comes from renters, homeowners, pet, and other insurance products. The company has been particularly focused on expanding its car insurance offering, which has shown strong growth momentum and represents a significant market opportunity. Lemonade differentiates itself through its digital-native approach, using mobile apps and web platforms for policy purchases, management, and claims filing. The company's proprietary technology platform, called Blender, integrates artificial intelligence throughout the customer journey, from initial quotes to claims processing. This technology-first approach allows Lemonade to operate with lower overhead costs compared to traditional insurers while providing faster service to customers.
Revenue model
Lemonade generates revenue primarily through insurance premiums paid by policyholders. Customers pay monthly or annual premiums for coverage, and Lemonade retains a portion of these premiums after paying out claims and reinsurance costs. The company also operates as an agent for other insurance companies, earning commissions on policies sold on behalf of third parties. The company's business model centers on achieving profitable unit economics through three key levers: growing premium per customer (currently $396), improving loss ratios (the percentage of premiums paid out in claims), and acquiring customers cost-effectively. Lemonade's customer lifetime value to customer acquisition cost ratio (LTV:CAC) has historically maintained above 3:1, indicating profitable customer acquisition. Several factors influence Lemonade's profitability margins. Catastrophic events like wildfires, hurricanes, and severe weather can significantly impact loss ratios - for example, California wildfires in Q1 2025 added 16 percentage points to the gross loss ratio. Inflation affects claim costs, particularly for home repairs and auto parts, requiring the company to regularly file for rate increases with state insurance regulators. Interest rates impact investment income on the company's float (premiums collected but not yet paid out in claims). The company's technology-driven approach provides margin advantages through operational efficiency. AI handles over 30% of customer communications without human intervention, and the integrated technology platform allows the company to grow revenue while keeping operating expenses relatively stable. However, regulatory approval processes for rate increases can create timing lags between cost inflation and premium adjustments, temporarily pressuring margins. Competition in customer acquisition also affects marketing spend efficiency, though Lemonade's focus on cross-selling multiple products to existing customers helps improve overall unit economics.
Competitive moat
Lemonade's competitive moat is moderate but developing, primarily built around its technology platform and data advantages rather than traditional insurance industry moats. The company's strongest defensive position comes from its integrated AI-driven technology stack called Blender, which handles end-to-end insurance operations from underwriting to claims processing. This creates operational efficiencies that are difficult for traditional insurers to replicate without rebuilding their entire technology infrastructure. The company benefits from data network effects - as more customers use Lemonade's platform, the AI models improve at pricing risk, detecting fraud, and processing claims efficiently. With over 2.5 million customers generating continuous data points, Lemonade can refine its algorithms in ways that newer entrants cannot easily match. The company's behavioral economics approach, including features like the "Giveback" program where unused premiums go to charities chosen by customers, creates some customer loyalty and differentiation. However, Lemonade's moat faces significant challenges. The insurance industry has low switching costs for consumers, who can easily compare prices and change providers annually. Large traditional insurers like State Farm, Geico, and Progressive have substantial scale advantages, deeper pockets for marketing spend, and established relationships with agents and brokers. These incumbents are also investing heavily in digital transformation and AI capabilities, potentially eroding Lemonade's technology advantage over time. The regulatory nature of insurance creates both protection and vulnerability. While state-by-state licensing requirements create barriers to entry, they also limit Lemonade's ability to rapidly scale across markets. Traditional insurers' established relationships with regulators and deeper actuarial experience may provide advantages in rate approval processes. Additionally, Lemonade's focus on younger, urban customers creates concentration risk, as economic downturns or demographic shifts could disproportionately impact the customer base.
Risks & safety
Lemonade presents a moderate margin of safety with solid liquidity but ongoing profitability challenges. **Cash and Solvency:** - Strong cash position of $309 million in cash and short-term investments as of Q1 2025 - Current ratio of 5.07 indicates excellent short-term liquidity - Debt-to-equity ratio of 0.23 shows conservative leverage - Free cash flow of -$49.5 million in Q1 2025, though the company achieved positive free cash flow of $10.6 million in Q4 2024 **Valuation Metrics:** - Trading at 4.2x book value, indicating premium valuation - Negative earnings make P/E ratio not meaningful - EV/EBITDA of -9.3x reflects current losses - Price-to-book ratio suggests market expects significant future profitability **Other Considerations:** - Company targets EBITDA breakeven by end of 2026 - Burn rate has improved significantly with better operational efficiency - Regulatory capital requirements for insurance operations provide some downside protection - Growth trajectory of 27% in-force premium growth provides revenue visibility
Recent development
Over the past few years, Lemonade has undergone significant strategic evolution focused on achieving profitability while expanding its product portfolio. The company's most notable pivot has been its aggressive expansion into car insurance, which has grown from a small segment to representing 15% of in-force premium. In 2022, Lemonade acquired Metromile to accelerate its auto insurance capabilities, gaining access to telematics technology and automotive expertise. The company has implemented a major operational efficiency initiative centered on artificial intelligence integration. Lemonade now handles over 30% of customer communications through AI without human intervention, and its Blender operating system integrates AI across underwriting, claims processing, and customer service. This technology focus has allowed the company to maintain stable operating expenses while growing its book of business by 65%. A significant strategic shift occurred in 2024 when Lemonade began selectively non-renewing unprofitable policies, particularly catastrophe-exposed homeowners insurance policies worth $20-25 million in in-force premium. This disciplined approach to profitability represents a departure from pure growth focus toward sustainable unit economics. The company has also expanded geographically, launching operations in the United Kingdom and expanding car insurance to additional U.S. states. In 2025, Lemonade launched car insurance in Colorado, bringing its coverage to 40% of the U.S. auto market. The company has achieved a 60% increase in conversion rates through its new telematics approach and doubled cross-sales volume year-over-year. Lemonade's path to profitability has accelerated ahead of schedule. The company achieved its first cash flow positive year in 2024, a full year ahead of expectations, and now targets EBITDA breakeven by end of 2026. Management expects to achieve positive adjusted free cash flow in 2025 while maintaining 30%+ growth expectations.
LMND company profile · for informational purposes only — not investment advice.
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