Lemonade, Inc. (LMND - Free Report) is slated to report first-quarter 2022 earnings on May 9, after market close. LMND delivered a negative earnings surprise in the last reported quarter.
Factors to Consider
Premiums are likely to have improved attributable to the continued shift of business mix toward products with higher average policy values, increasing prevalence of multiple policies per customer, and growth in the overall average policy value. The Zacks Consensus Estimate for premium per customer is pegged at $272, indicating an increase of 18.8% from the year-ago reported number.
Lemonade projects gross earned premiums between $92 million and $94 million for the first quarter of 2022, given a likely improvement in in-force premium earned.
In-force premium in the to-be-reported quarter is likely to have been aided by an increase in customer base as well as an improvement in premium per customer. The insurer estimates in-force premiums between $405 million and $410 million.
Lemonade projects revenues between $41 and $43 million. The Zacks Consensus Estimate for the metric is pegged at $43.2 million, suggesting an increase of about 84% from the year-ago reported figure.
Expenses are expected to have increased attributable to a rise in other insurance expense, technology development, and general and administrative expense. Lemonade projects adjusted EBITDA loss in the range of $65 million to $70 million for the to-be-reported quarter.
The insurer expects stock-based compensation expense of nearly $20 million and capital expenditures of around $2 million for the to-be-reported quarter.
The Zacks Consensus Estimate is pegged at a loss of $1.43, wider than a loss of 81 cents incurred in the year-ago quarter.
What the Zacks Model Says
Our proven model does not conclusively predict an earnings beat for Lemonade this time around. This is because the stock needs to have the right combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). This is not the case as you can see below.
Earnings ESP: Lemonade has an Earnings ESP of +2.66%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Zacks Rank: Lemonade currently carries a Zacks Rank of 4 (Sell).
Stocks to Consider
Some stocks from the finance sector with the perfect mix of elements to surpass estimates in their upcoming quarterly releases are as follows:
BRP Group (BRP - Free Report) has an Earnings ESP of +2.65% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for first-quarter earnings is pegged at 51 cents, indicating an increase of 15.9% from the year-ago reported figure.
BRP delivered an earnings beat in each of the four reported quarters of 2021.
Hamilton Lane Inc. (HLNE - Free Report) has an Earnings ESP of +0.89% and a Zacks Rank of 3. The Zacks Consensus Estimate for first-quarter 2022 earnings is pegged at 75 cents, indicating a decline of 21% from the year-ago reported figure.
HLNE’s earnings beat estimates in each of the four trailing quarters of 2021.
ProAssurance Corporation (PRA - Free Report) has an Earnings ESP of +27.54% and a Zacks Rank of 3. The Zacks Consensus Estimate for first-quarter 2022 earnings is pegged at 17 cents, indicating an increase of 325% from the year-ago reported figure.
PRA’s earnings beat estimates in each of the four trailing quarters of 2021.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Just Released: Zacks Top 10 Stocks for 2024
Hurry – you can still get in early on our 10 top tickers for 2024. Hand-picked by Zacks Director of Research, Sheraz Mian, this portfolio has been stunningly and consistently successful. From inception in 2012 through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Sheraz has combed through 4,400 companies covered by the Zacks Rank and handpicked the best 10 to buy and hold in 2024. You can still be among the first to see these just-released stocks with enormous potential.
See New Top 10 Stocks >>
Lemonade, Inc. (LMND - Free Report) is slated to report first-quarter 2022 earnings on May 9, after market close. LMND delivered a negative earnings surprise in the last reported quarter.
Factors to Consider
Premiums are likely to have improved attributable to the continued shift of business mix toward products with higher average policy values, increasing prevalence of multiple policies per customer, and growth in the overall average policy value. The Zacks Consensus Estimate for premium per customer is pegged at $272, indicating an increase of 18.8% from the year-ago reported number.
Lemonade projects gross earned premiums between $92 million and $94 million for the first quarter of 2022, given a likely improvement in in-force premium earned.
In-force premium in the to-be-reported quarter is likely to have been aided by an increase in customer base as well as an improvement in premium per customer. The insurer estimates in-force premiums between $405 million and $410 million.
Lemonade projects revenues between $41 and $43 million. The Zacks Consensus Estimate for the metric is pegged at $43.2 million, suggesting an increase of about 84% from the year-ago reported figure.
Expenses are expected to have increased attributable to a rise in other insurance expense, technology development, and general and administrative expense. Lemonade projects adjusted EBITDA loss in the range of $65 million to $70 million for the to-be-reported quarter.
The insurer expects stock-based compensation expense of nearly $20 million and capital expenditures of around $2 million for the to-be-reported quarter.
The Zacks Consensus Estimate is pegged at a loss of $1.43, wider than a loss of 81 cents incurred in the year-ago quarter.
What the Zacks Model Says
Our proven model does not conclusively predict an earnings beat for Lemonade this time around. This is because the stock needs to have the right combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). This is not the case as you can see below.
Earnings ESP: Lemonade has an Earnings ESP of +2.66%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Zacks Rank: Lemonade currently carries a Zacks Rank of 4 (Sell).
Stocks to Consider
Some stocks from the finance sector with the perfect mix of elements to surpass estimates in their upcoming quarterly releases are as follows:
BRP Group (BRP - Free Report) has an Earnings ESP of +2.65% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for first-quarter earnings is pegged at 51 cents, indicating an increase of 15.9% from the year-ago reported figure.
BRP delivered an earnings beat in each of the four reported quarters of 2021.
Hamilton Lane Inc. (HLNE - Free Report) has an Earnings ESP of +0.89% and a Zacks Rank of 3. The Zacks Consensus Estimate for first-quarter 2022 earnings is pegged at 75 cents, indicating a decline of 21% from the year-ago reported figure.
HLNE’s earnings beat estimates in each of the four trailing quarters of 2021.
ProAssurance Corporation (PRA - Free Report) has an Earnings ESP of +27.54% and a Zacks Rank of 3. The Zacks Consensus Estimate for first-quarter 2022 earnings is pegged at 17 cents, indicating an increase of 325% from the year-ago reported figure.
PRA’s earnings beat estimates in each of the four trailing quarters of 2021.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Just Released: Zacks Top 10 Stocks for 2024
Hurry – you can still get in early on our 10 top tickers for 2024. Hand-picked by Zacks Director of Research, Sheraz Mian, this portfolio has been stunningly and consistently successful. From inception in 2012 through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Sheraz has combed through 4,400 companies covered by the Zacks Rank and handpicked the best 10 to buy and hold in 2024. You can still be among the first to see these just-released stocks with enormous potential.
See New Top 10 Stocks >>
Get the latest research report on PRA - FREE
Get the latest research report on BRP - FREE
Get the latest research report on HLNE - FREE
Get the latest research report on LMND - FREE